STRATEGIC WATER QUALITY INITIATIVES

MCL ch. 324, subtit. Act 451 of 1994, art. II, ch. 1, pt. 324.4101.D10, pt. 52

in effect

MCL 324.5201 Definitions.

324.5201. Definitions. Sec. 5201. As used in this part: (a) "Asset management program" means the program that identifies the desired level of service at the lowest life cycle cost for rehabilitating, repairing, or replacing the assets associated with a municipality's wastewater or storm water system. (b) "Authority" means the Michigan municipal bond authority created in section 4 of the shared credit rating act, 1985 PA 227, MCL 141.1054. (c) "Department" means the department of environmental quality. (d) "Fund" means the strategic water quality initiatives fund created in section 5204. (e) "Grant" means a grant from the grant program. (f) "Grant program" means the strategic water quality initiatives grant program established under this part. (g) "Loan" means a loan from the loan program. (h) "Loan program" means the strategic water quality initiatives loan program established under section 5202. (i) "Municipality" means that term as it is defined in section 5301. (j) "On-site septic system" means a natural system or mechanical device used to store, treat, and dispose of sewage from 1 or more dwelling units that utilize a subsurface trench or bed that allows the effluent to be absorbed and treated by the surrounding soil, including a septic tank and tile field system. (k) "State water pollution control revolving fund" means the state water pollution control revolving fund established under section 16a of the shared credit rating act, 1985 PA 227, MCL 141.1066a. (l) "Wetland mitigation bank" means a site where wetlands are restored, created, or preserved for the purpose of doing both of the following: (i) To provide compensatory mitigation in accordance with the provisions of part 303, in advance of authorized, unavoidable impacts to wetlands. (ii) To provide storm water control, nonpoint source pollution control, or pollution treatment that improves the quality of the waters of the state. Add. 2002, Act 397, Eff. Nov. 5, 2002; Am. 2005, Act 257, Imd. Eff. Dec. 1, 2005; Am. 2012, Act 511, Eff. Jan. 2, 2013 [Compiler] Enacting section 2 of Act 397 of 2002 provides: [Compiler] “Enacting section 2. This amendatory act does not take effect unless the question provided for in the Great Lakes water quality bond authorization act is approved by a majority of the registered electors voting on the question at the November 2002 general election.” [Compiler] Act 396 of 2002, the Great Lakes water quality bond authorization act, which was approved by the Governor on May 29, 2002, and filed with the Secretary of State on May 30, 2002, provided that bonds “shall not be issued under this act unless the question set forth in section 5 [MCL 324.95205] is approved by a majority vote of the registered electors voting on the question.” In accordance with Const 1963, art 9, sec 15, the question of borrowing a sum of not to exceed $1,000,000,000.00 and the issuance of general obligation bonds of the state for the purposes set forth in the act was submitted to, and approved by, the qualified electors of the state as Proposal 02-2 at the November 5, 2002, general election. [PopularName] Act 451 [PopularName] NREPA

MCL 324.5202 Strategic water quality initiatives loan program; establishment; purpose; asset management program; content; criteria; interest rate.

324.5202. Strategic water quality initiatives loan program; establishment; purpose; asset management program; content; criteria; interest rate. Sec. 5202. (1) The authority in consultation with the department shall establish a strategic water quality initiatives loan program. This loan program shall provide low interest loans to municipalities to provide assistance for 1 or more of the following: (a) Improvements to reduce or eliminate the amount of groundwater or storm water entering a sanitary sewer lead or a combined sewer lead. (b) Upgrades or replacements of failing on-site septic systems that are adversely affecting public health or the environment, or both. (c) Project costs of the municipality related to testing, demonstration, and construction activities as defined in section 5301(d) for innovative wastewater and storm water technologies approved by the department. (d) Assistance for construction activities as defined in section 5301(d) designed to protect water quality, including improvements that are water or energy efficient, where feasible, when identified through an asset management program or a project identified in an approved storm water management plan. (2) The department shall develop criteria specifying the content of an asset management program. (3) In implementing the loan program, the department shall annually establish the interest rate that will be charged for loans. Add. 2002, Act 397, Eff. Nov. 5, 2002; Am. 2012, Act 511, Eff. Jan. 2, 2013 [Compiler] Enacting section 2 of Act 397 of 2002 provides: [Compiler] “Enacting section 2. This amendatory act does not take effect unless the question provided for in the Great Lakes water quality bond authorization act is approved by a majority of the registered electors voting on the question at the November 2002 general election.” [Compiler] Act 396 of 2002, the Great Lakes water quality bond authorization act, which was approved by the Governor on May 29, 2002, and filed with the Secretary of State on May 30, 2002, provided that bonds “shall not be issued under this act unless the question set forth in section 5 [MCL 324.95205] is approved by a majority vote of the registered electors voting on the question.” In accordance with Const 1963, art 9, sec 15, the question of borrowing a sum of not to exceed $1,000,000,000.00 and the issuance of general obligation bonds of the state for the purposes set forth in the act was submitted to, and approved by, the qualified electors of the state as Proposal 02-2 at the November 5, 2002, general election. [PopularName] Act 451 [PopularName] NREPA

MCL 324.5203 Loan application by municipality; process; agreement; disposition of money received as repayment.

324.5203. Loan application by municipality; process; agreement; disposition of money received as repayment. Sec. 5203. (1) A municipality that wishes to apply for a loan shall submit a loan application to the department as follows: (a) In compliance with the application requirements provided in part 53, for activities described in section 5202(1)(a) or (b). (b) On a form approved by the department, for activities described in section 5202(1)(c) or (d). (2) The department shall process the loan applications submitted under this part. (3) Prior to releasing a loan, the authority in consultation with the department shall enter into a loan agreement with the loan recipient. (4) All money that is received for the repayment of a loan shall be forwarded to the state treasurer for deposit into the fund. Add. 2002, Act 397, Eff. Nov. 5, 2002; Am. 2012, Act 511, Eff. Jan. 2, 2013 [Compiler] Enacting section 2 of Act 397 of 2002 provides: [Compiler] “Enacting section 2. This amendatory act does not take effect unless the question provided for in the Great Lakes water quality bond authorization act is approved by a majority of the registered electors voting on the question at the November 2002 general election.” [Compiler] Act 396 of 2002, the Great Lakes water quality bond authorization act, which was approved by the Governor on May 29, 2002, and filed with the Secretary of State on May 30, 2002, provided that bonds “shall not be issued under this act unless the question set forth in section 5 [MCL 324.95205] is approved by a majority vote of the registered electors voting on the question.” In accordance with Const 1963, art 9, sec 15, the question of borrowing a sum of not to exceed $1,000,000,000.00 and the issuance of general obligation bonds of the state for the purposes set forth in the act was submitted to, and approved by, the qualified electors of the state as Proposal 02-2 at the November 5, 2002, general election. [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204 Strategic water quality initiatives fund; creation; disposition of money or assets; investment; funds remaining at close of fiscal year; expenditures; fund as security.

324.5204. Strategic water quality initiatives fund; creation; disposition of money or assets; investment; funds remaining at close of fiscal year; expenditures; fund as security. Sec. 5204. (1) The strategic water quality initiatives fund is created within the state treasury. (2) The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund. The state treasurer shall credit to the fund interest and earnings from fund investments. The authority shall act as fiscal agent for the fund in accordance with the shared credit rating act, 1985 PA 227, MCL 141.1051 to 141.1076. (3) Money in the fund at the close of the fiscal year shall remain in the fund and shall not lapse to the general fund. (4) The authority in consultation with the department shall expend money from the fund, upon appropriation, only for the following: (a) Loans under section 5202. (b) Grants under sections 5204a, 5204d, and 5204e. (c) Response activities to address nonpoint source water pollution under section 5204b. (d) Grants and loans for brownfield sites under section 5204c. (e) Grants and loans for wetland mitigation banks under section 5204f. (f) The costs of the authority and the department in administering the fund. (5) The fund may be pledged as security for bonds to be issued by the authority for the purpose of funding loans if authorized by the state administrative board. Add. 2002, Act 397, Eff. Nov. 5, 2002; Am. 2005, Act 253, Imd. Eff. Dec. 1, 2005; Am. 2010, Act 232, Imd. Eff. Dec. 14, 2010; Am. 2012, Act 511, Eff. Jan. 2, 2013 [Compiler] Enacting section 2 of Act 397 of 2002 provides: [Compiler] “Enacting section 2. This amendatory act does not take effect unless the question provided for in the Great Lakes water quality bond authorization act is approved by a majority of the registered electors voting on the question at the November 2002 general election.” [Compiler] Act 396 of 2002, the Great Lakes water quality bond authorization act, which was approved by the Governor on May 29, 2002, and filed with the Secretary of State on May 30, 2002, provided that bonds “shall not be issued under this act unless the question set forth in section 5 [MCL 324.95205] is approved by a majority vote of the registered electors voting on the question.” In accordance with Const 1963, art 9, sec 15, the question of borrowing a sum of not to exceed $1,000,000,000.00 and the issuance of general obligation bonds of the state for the purposes set forth in the act was submitted to, and approved by, the qualified electors of the state as Proposal 02-2 at the November 5, 2002, general election. [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204a Strategic water quality initiatives grant program.

324.5204a. Strategic water quality initiatives grant program. Sec. 5204a. (1) The authority, in conjunction with the department, shall establish a strategic water quality initiatives grant program that provides grants totaling not more than $80,000,000.00 to eligible municipalities. The grant program shall provide assistance to municipalities to complete the loan application requirements of section 5308 or to complete the loan application requirements for other sources of financing for sewage treatment works projects, storm water treatment projects, or nonpoint source projects. (2) The grant program is subject to all of the following: (a) The grant program shall provide grants to cover not more than 90% of the costs incurred by a municipality to complete an application for loan assistance from the state water pollution control revolving fund or the fund or to complete an application for loan assistance from another source of financing for a sewage treatment works project, a storm water treatment project, or a nonpoint source project. (b) The 10% local match is not eligible for loan assistance from the state water pollution control revolving fund or the fund or other source of financing for the project. (c) Grant funds shall not be used for general local government administrative activities or activities performed by municipal employees. (d) A municipality shall not receive more than $1,000,000.00 in total grant assistance under this section. (e) Grants under this section shall be available for projects seeking or intending to seek loan assistance after September 30, 2006. (3) The department shall establish an application and review process for considering grant applications under this section. The application shall contain the information required by the department and the authority. Within 60 days after receipt of an application, the department shall publish notice of the application on the department's calendar. Within 60 days after receipt of an administratively complete grant application, the department shall, in writing, notify the applicant whether the application is approved or rejected. If the department approves a grant under this section, the department and the authority shall enter into a grant agreement with the recipient prior to transferring funds. The grant agreement shall contain terms established by the department and the authority and a requirement that the grant recipient repay the grant, within 90 days of being informed to do so, with interest at a rate not to exceed 8% per year, to the authority for deposit into the fund if any of the following occur: (a) The applicant fails to submit an administratively complete loan application for assistance from the state water pollution control revolving fund or the fund or other source of financing for the project within 3 years of the grant award. (b) The project has been identified as being in the fundable range or is approved for funding from another source and the applicant declines the loan assistance for 2 consecutive fiscal years unless the applicant proceeds with funding from another source. (c) The applicant is unable to, or decides not to, proceed with constructing the project. (4) For each year in which the department receives grant applications under this section, the department shall report by July 1 of each year to the standing committees of the senate and the house of representatives with primary jurisdiction over issues pertaining to natural resources and the environment and to the senate and house of representatives appropriations committees on the utilization of funds under this part that were received from the Great Lakes water quality bond fund created in section 19706. The report shall include, at a minimum, all of the following: (a) The number of grant applications received under this section. (b) The name of each municipality applying for a grant. (c) The individual and annual cumulative amount of grant funds awarded, including an identification of whether each award was for the purpose of applying for assistance from the state water pollution control revolving fund or the fund. (d) A summary of loan assistance, by year, tendered from the state water pollution control revolving fund and the fund. (5) The senate and house appropriations committees shall annually review whether there is sufficient money in the fund to implement this section and section 5202. Add. 2005, Act 254, Imd. Eff. Dec. 1, 2005; Am. 2010, Act 231, Imd. Eff. Dec. 14, 2010 [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204b Nonpoint source water pollution; expenditures; limitation; requirements; selection of projects; expenditures subject to generally accepted accounting principles; annual report; use of fund; "facility", "release", and "response activity" defined.

324.5204b. Nonpoint source water pollution; expenditures; limitation; requirements; selection of projects; expenditures subject to generally accepted accounting principles; annual report; use of fund; "facility", "release", and "response activity" defined. Sec. 5204b. (1) Subject to section 5204c, the department may expend, upon appropriation, not more than $140,000,000.00 of the money from the fund for response activities to address nonpoint source water pollution at facilities as follows: (a) For the state fiscal year ending September 30, 2011, not more than $50,000,000.00 may be authorized for expenditure under this section. (b) For the state fiscal year ending September 30, 2012, not more than $50,000,000.00 may be authorized for expenditure under this section. (c) Beginning October 1, 2012, any money not previously authorized for expenditure under this section may be expended under this section only if the department documents that it has achieved the following performance objectives: (i) Increasing the level of investment in sewage collection and treatment systems. (ii) Providing incentives for actions that not only improve water quality but result in pollution prevention. (iii) Optimizing the cost benefit ratio of alternative designs of sewage collection and treatment systems. (iv) Demonstrating progress toward maximizing risk reduction and economic development objectives identified for projects funded under this section. (2) The department shall expend money under this section in compliance with all of the following: (a) The expenditure is used to improve the quality of the waters of the state. (b) The expenditure is used only for facilities in which the department does not know the identity of the person or persons who are liable under part 201 for the release resulting in the water pollution or the person or persons who are liable do not have sufficient resources to fund the required response activities. (c) The facilities include property that is located within the identified planning area boundaries of a publicly owned sanitary sewer system eligible for funding under the state water pollution control revolving fund established in section 16a of the shared credit rating act, 1985 PA 227, MCL 141.1066a. (d) The expenditure is used for response activities necessary to address existing or imminent unacceptable risks arising from conditions that contribute to nonpoint source water pollution, including expenses for project management activities within the department. (3) In using funds to address nonpoint source water pollution projects under this section, the department shall select projects that, to the extent practicable, provide maximum benefit to the state in protecting public health and the environment and contributing to economic development. (4) Money expended to support project management within the department to manage response activities at the facility shall be expended pursuant to generally accepted accounting principles. (5) The department shall annually submit a report to the standing committees of the senate and house of representatives with jurisdiction over issues primarily pertaining to natural resources and the environment and to the senate and house of representatives appropriations subcommittees on natural resources and the environment that describes the projects funded under this section and includes an evaluation of how the expenditures, to the extent practicable, provide maximum benefit to the state in protecting public health and the environment and contributing to economic development. For each project funded under this section, the report shall include all of the following: (a) How the project met the criteria described in this section. (b) The extent to which the project improved water quality or prevented a risk to water quality as measured by the number of individuals who benefit from the project. (c) The extent to which the project preserved infrastructure investments that protect public health or prevented risks to water quality as measured by the risk posed or the public health protected. (d) The extent to which the project enhanced economic development as measured by such factors including, but not limited to, all of the following: (i) A net increase to the value of the properties in the vicinity of the project. (ii) The creation of jobs. (iii) The extent to which the project contributed to leveraging private investment in the vicinity of the project. (e) If the project included funding for project management within the department, a breakdown of the amount of money used to support the project management as justified using generally accepted accounting principles. (6) The legislature finds that use of the fund for response activities to address nonpoint source water pollution at facilities is appropriate and necessary at this time. It is the intent of this legislature that money from the fund shall not be utilized for response activities to address nonpoint source water pollution at facilities when the $150,000,000.00 has been expended under this section and section 5204c. (7) As used in this section, "facility", "release", and "response activity" mean those terms as they are defined in part 201. Add. 2010, Act 232, Imd. Eff. Dec. 14, 2010 [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204c Nonpoint source water pollution; brownfield redevelopment grants and loans to municipalities and brownfield redevelopment authorities; development of materials; applications.

324.5204c. Nonpoint source water pollution; brownfield redevelopment grants and loans to municipalities and brownfield redevelopment authorities; development of materials; applications. Sec. 5204c. (1) The department may expend $10,000,000.00 of money from the fund to provide brownfield redevelopment grants and loans to municipalities and brownfield redevelopment authorities created under the brownfield redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672, for response activities to address nonpoint source water pollution at facilities. Of the money expended under this section, $5,000,000.00 shall be used for grants and $5,000,000.00 shall be used for loans. However, on September 30, 2014, if any money described in this section has not been appropriated for the purposes of this section, that money may be used for the purposes of section 5204b. (2) The department shall develop grant and loan application materials to implement this section and shall accept applications at any time throughout the year. Add. 2010, Act 232, Imd. Eff. Dec. 14, 2010 [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204d Grant program within strategic water quality initiatives fund; establishment; purpose.

324.5204d. Grant program within strategic water quality initiatives fund; establishment; purpose. Sec. 5204d. The state may establish a grant program within the strategic water quality initiatives fund for the purpose of funding specific wastewater treatment facility infrastructure improvement projects designed to prevent chronic discharges and projected to have significant regional benefits to Great Lakes water quality and recreational opportunities. Add. 2010, Act 232, Imd. Eff. Dec. 14, 2010; Am. Act 132, Imd. Eff. June 30, 2022 [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204e Grant program; purpose; conditions; application and review process; contents; approval; agreement; terms; report.

324.5204e. Grant program; purpose; conditions; application and review process; contents; approval; agreement; terms; report. Sec. 5204e. (1) In addition to other requirements of this part, the grant program shall provide grants to municipalities for sewage collection and treatment systems or stormwater or nonpoint source pollution control as provided for in this section. (2) The grant program is subject to all of the following: (a) The grant program shall provide grants to a municipality in accordance with the following: (i) Subject to subparagraph (iii), for total grants of up to $1,000,000.00, not more than 90% of the costs incurred by the municipality. (ii) Subject to subparagraph (iii), for total grants of more than $1,000,000.00, not more than 90% of the costs incurred by the municipality for up to $1,000,000.00 of the grant amount and not more than 75% of the remaining costs incurred by the municipality for the balance of the grant amount. (iii) If any of the following conditions are met, a grant may be issued to cover 100% of the costs incurred by the municipality: (A) The municipality is a disadvantaged community as defined in section 5301. (B) The municipality is in receivership. (C) The municipality is operating under an emergency manager or an emergency financial manager appointed under state law. (D) The municipality is operating under a consent agreement as provided under the local financial stability and choice act, 2012 PA 436, MCL 141.1541 to 141.1575. (b) A grant may be used for 1 or more of the following purposes: (i) Development of an asset management program for a sewage collection and treatment system or a stormwater system. For sewage collection and treatment systems, the program shall include the development of a funding structure and implementation schedule that provides sufficient resources to implement the program. The municipality shall coordinate, as feasible, with other infrastructure activities in the same geographic area. In addition, a disadvantaged community may expend not more than $500,000.00 in grant funds to implement projects identified in the asset management program. (ii) Development of management plans for the treatment of stormwater. (iii) Planning and design of a sewage treatment works project or stormwater treatment project as defined in section 5301(n) or (o) or planning and design of construction activities designed to reduce nonpoint source pollution. (iv) Project costs of a municipality related to the testing and demonstration of innovative wastewater and stormwater technologies approved by the department. (v) For projects to address a substantial public health risk from treatment system failure, up to 50% of the project costs related to the planning, design, and construction of a sewage collection and treatment system. To be eligible for a grant under this subparagraph, a municipality shall apply on or after June 1, 2016, meet criteria developed by the department, and provide a demonstration of financial need, including an economic feasibility study with which the department of treasury concurs. Construction funding under this subparagraph shall not exceed $10,000,000.00 and shall be allocated from wetland mitigation bank funding authorized in section 5204f(1). (c) The local match is not eligible for loan assistance from the state water pollution control revolving fund or the fund. (d) Grant funds shall not be used for general local government administrative activities or activities performed by municipal employees that are unrelated to the project. (e) A municipality shall not receive more than $2,000,000.00 in grant assistance for purposes described in subsection (2)(b)(i) to (iv) and not receive more than $2,000,000.00 in grant assistance for the purposes described in subsection (2)(b)(v). (3) The department shall establish an application and review process for considering grant applications under this section. The application shall contain the information required by the department and the authority. Within 60 days after receipt of an application, the department shall publish notice of the application on the department's calendar. Within 120 days after receipt of an administratively complete grant application, the department shall, in writing, notify the applicant whether the application is approved or rejected. If the department approves a grant under this section, the department and the authority shall enter into a grant agreement with the recipient prior to transferring funds. The grant agreement shall contain terms established by the department and the authority, including both of the following: (a) A requirement that a grant recipient proceed with a project for which grant funding is provided within 3 years after the department approves the grant. For asset management programs related to sewage collection and treatment systems, this includes significant progress, as determined by the department, toward achieving the funding structure necessary to implement the program. (b) A requirement that the grant recipient repay the grant, within 90 days of being informed to do so, with interest at a rate not to exceed 8% per year, to the authority for deposit into the fund if the applicant is unable to, or decides not to, proceed with a construction project or begin implementation of an asset management program for which grant funding is provided. (4) For each year in which the department receives grant applications under this section, the department shall report by October 1 of that year to the standing committees of the senate and the house of representatives with primary jurisdiction over issues pertaining to natural resources and the environment and to the senate and house of representatives appropriations committees on the utilization of funds under this part that were received from the Great Lakes water quality bond fund created in section 19706. The report shall include, at a minimum, all of the following: (a) The number of grant applications received under this section. (b) The name of each municipality applying for a grant. (c) The type of project being funded for each grant awarded. (d) The number of users potentially affected by each grant awarded. (e) The amount of the local match for each grant awarded. (f) The individual and annual cumulative amount of grant funds awarded, including an identification of whether each award was for the purpose of applying for assistance from the state water pollution control revolving fund or the fund. Add. 2012, Act 511, Eff. Jan. 2, 2013; Am. 2016, Act 164, Imd. Eff. June 9, 2016; Am. 2017, Act 147, Imd. Eff. Nov. 2, 2017 [PopularName] Act 451 [PopularName] NREPA

MCL 324.5204f Wetland mitigation bank funding program.

324.5204f. Wetland mitigation bank funding program. Sec. 5204f. (1) The department, in conjunction with the authority, shall establish a wetland mitigation bank funding program that provides grants and loans totaling not more than $10,000,000.00 to eligible municipalities. Of the money expended under this subsection, up to $500,000.00 may be used for grants. Funding may be used for the purpose of this subsection as long as funds remain available. (2) Grants awarded under the wetland mitigation bank funding program shall provide assistance to municipalities to complete loan application requirements for funding from the wetland mitigation bank funding program or to complete loan application requirements for other sources of financing. Grants for wetland mitigation banks are subject to the following: (a) Grants shall not cover more than 90% of the costs incurred by a municipality to complete an application for loan assistance. (b) Grant funding may be used for the following purposes: (i) Developing an approvable wetland mitigation banking proposal. (ii) Notifying affected local units of government and adjacent property owners of the proposed wetland mitigation bank, and working to resolve objections to the project. (iii) Planning and designing the wetland mitigation bank. (iv) Completing the wetland mitigation bank funding program loan application or loan application requirements for other sources of financing. (c) The 10% local match is not eligible for loan assistance from the wetland mitigation funding bank program. (d) Grant funds shall not be used for general local government administrative activities or activities performed by municipal employees that are unrelated to development of the wetland mitigation bank loan application. (e) Applications for grants from the wetland mitigation funding bank program shall be made on a form provided by the department and shall contain the information required by the department and the authority. Grant applications may be made at any time. (f) The department shall establish a review process for considering grant applications under this subsection. The department shall notify the applicant in writing whether the application is approved or rejected. If the department approves a grant under this section, the department and the authority shall enter into a grant agreement with the recipient prior to transferring funds. (g) The grant agreement shall contain terms established by the department and the authority and a requirement that the grant recipient repay the grant, within 90 days of being informed to do so, with interest at a rate not to exceed 8% per year, to the authority for deposit into the fund if any of the following occur: (i) The applicant fails to submit an administratively complete loan application for assistance from the wetland mitigation bank funding program or other source of financing for the project within 1 year of the date on which the grant expires. (ii) The applicant declines the loan assistance for 2 consecutive years unless the applicant proceeds with funding from another source. (iii) The applicant is unable to enter into a signed wetland mitigation banking agreement with the department within 2 years of the date on which the grant expires. (iv) The applicant is unable to or decides not to proceed with constructing the project. (3) Loans under the wetland mitigation bank funding program shall provide assistance to municipalities to establish a wetland mitigation bank. Loans shall be subject to the following: (a) Loans under the wetland mitigation bank funding program shall be for 1 or more of the following: (i) Complete and execute the wetland mitigation banking agreement with the department. (ii) Complete engineering and design for the wetland mitigation bank. (iii) Purchase land for the wetland mitigation bank. (iv) Construct the wetland mitigation bank. (v) Conduct monitoring and maintenance necessary to ensure that the performance standards are or will be met. (vi) In addition, the department may approve the use of loan funds for other activities needed to establish a wetland mitigation bank upon a demonstrated need by the municipality. (b) Applications for loans from the wetland mitigation bank funding program shall be made on a form provided by the department and shall contain the information required by the department and the authority. Loan applications may be made at any time. (4) The department shall establish a review process for considering loan applications under this subsection. The department shall notify the applicant in writing whether the loan is approved or rejected. Prior to releasing a loan, the authority in consultation with the department shall enter into a loan agreement with the loan recipient. (5) For each year in which the department receives grant or loan applications under this section, the department shall report by October 1 to the standing committees of the senate and the house of representatives with primary jurisdiction over issues pertaining to natural resources and the environment and to the senate and house appropriations committees on the utilization of funds under this part that were received from the Great Lakes water quality bond fund created in section 19706. The report shall include, at a minimum, all of the following: (a) The number of grant and loan applications received under this section. (b) The name of each municipality applying for a grant or loan, or both. (c) The amount of local match for each grant awarded. (d) The individual and annual cumulative amount of grant and loan funds awarded, including an identification of the purpose of each grant and loan awarded. Add. 2012, Act 559, Imd. Eff. Jan. 2, 2013

MCL 324.5205 Rules.

324.5205. Rules. Sec. 5205. The department may promulgate rules to implement this part. Add. 2002, Act 397, Eff. Nov. 5, 2002 [Compiler] Enacting section 2 of Act 397 of 2002 provides: [Compiler] “Enacting section 2. This amendatory act does not take effect unless the question provided for in the Great Lakes water quality bond authorization act is approved by a majority of the registered electors voting on the question at the November 2002 general election.” [Compiler] Act 396 of 2002, the Great Lakes water quality bond authorization act, which was approved by the Governor on May 29, 2002, and filed with the Secretary of State on May 30, 2002, provided that bonds “shall not be issued under this act unless the question set forth in section 5 [MCL 324.95205] is approved by a majority vote of the registered electors voting on the question.” In accordance with Const 1963, art 9, sec 15, the question of borrowing a sum of not to exceed $1,000,000,000.00 and the issuance of general obligation bonds of the state for the purposes set forth in the act was submitted to, and approved by, the qualified electors of the state as Proposal 02-2 at the November 5, 2002, general election. [PopularName] Act 451 [PopularName] NREPA

MCL 324.5206 Legislative findings.

324.5206. Legislative findings. Sec. 5206. The legislature finds and declares that the environmental, natural resources, and water quality protection programs implemented under this part are a public purpose and of paramount public concern in the interest of the health, safety, and general welfare of the citizens of this state. Add. 2002, Act 397, Eff. Nov. 5, 2002 [Compiler] Enacting section 2 of Act 397 of 2002 provides: [Compiler] “Enacting section 2. This amendatory act does not take effect unless the question provided for in the Great Lakes water quality bond authorization act is approved by a majority of the registered electors voting on the question at the November 2002 general election.” [Compiler] Act 396 of 2002, the Great Lakes water quality bond authorization act, which was approved by the Governor on May 29, 2002, and filed with the Secretary of State on May 30, 2002, provided that bonds “shall not be issued under this act unless the question set forth in section 5 [MCL 324.95205] is approved by a majority vote of the registered electors voting on the question.” In accordance with Const 1963, art 9, sec 15, the question of borrowing a sum of not to exceed $1,000,000,000.00 and the issuance of general obligation bonds of the state for the purposes set forth in the act was submitted to, and approved by, the qualified electors of the state as Proposal 02-2 at the November 5, 2002, general election. [PopularName] Act 451 [PopularName] NREPA

Source: Michigan Legislature (legislature.mi.gov)URL: https://legislature.mi.gov/documents/mcl/Chapter%20324.xmlFetched: 10/20/2026