MCL 123.1131 Short title.
123.1131. Short title.
Sec. 1.
This act may be cited as the "recreational and natural resources authority act".
2000, Act 321, Eff. Dec. 1, 2000; Am. 2026, Act 13, Imd. Eff. May 14, 2026
RECREATIONAL AND NATURAL RESOURCES AUTHORITY ACT
MCL ch. 123, subtit. Act 321 of 2000
in effectMCL 123.1133 Definitions.
123.1133. Definitions.
Sec. 3.
As used in this act:
(a) "Articles" means the articles of incorporation of an authority.
(b) "Authority" or "recreational authority" means an authority established under section 5.
(c) "Board" means the board of directors of the authority.
(d) "District" means a portion of a municipality having boundaries coterminous with those of a precinct used for general elections.
(e) "Electors of the authority" means the qualified and registered electors of the participating municipality or municipalities who reside within the territory of the authority.
(f) "Largest county" means, of those counties in which a participating municipality is located, the county having the greatest population.
(g) "Municipality" means a city, county, village, township, or school district.
(h) "Park" means an area of land or water, or both, dedicated to 1 or more of the following uses:
(i) Recreational purposes, including, but not limited to, landscaped tracts; picnic grounds; playgrounds; athletic fields; camps; campgrounds; zoological and botanical gardens; living historical farms; boating, hunting, fishing, and birding areas; swimming areas; and foot, bicycle, and bridle paths.
(ii) Open or scenic space.
(iii) Environmental, conservation, nature, or wildlife areas.
(i) "Participating municipality" means a municipality or district that is named in articles of incorporation or proposed articles of incorporation as joining in the original establishment of an authority, or a municipality or district that joins an existing authority and is added to the articles of incorporation, and that has not withdrawn from the authority.
(j) "Public forest and natural resources area" means an area of land or water, or both, and buildings and other improvements on the area, that is designated by an authority to be used primarily for 1 or more of the following:
(i) Recreational purposes, including, but not limited to, landscaped tracts; picnic grounds; playgrounds; athletic fields; camps; campgrounds; zoological and botanical gardens; living historical farms; boating, hunting, fishing, and birding areas; swimming areas; foraging and fruit picking; and foot, snowmobile, ORV, bicycle, and bridle paths or trails. As used in this subparagraph, "ORV" means that term as defined in section 81101 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81101.
(ii) Open or scenic space.
(iii) Environmental, conservation, nature, or wildlife areas.
(iv) Forestry or natural resources management.
(v) Protection or preservation of cultural or historical resources.
(vi) Any activity that may be a dedicated use of a park under subdivision (h).
(k) "Public historic farm" means a parcel of public land and its buildings that are accessible to the public, and provides, but is not limited to, agricultural and historical programs, farming activities and animal husbandry, community recreation activities and events, programs held in common areas, meeting rooms, and community gardens, and access to surrounding parkland.
(l) "Swimming pool" includes equipment, structures, areas, and enclosures intended for the use of individuals using or operating a swimming pool, such as equipment, dressing, locker, shower, and toilet rooms.
(m) "Territory of the authority" means the combined territory of the participating municipality or municipalities that is served by an authority.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2003, Act 135, Imd. Eff. Aug. 1, 2003; Am. 2016, Act 174, Eff. Sept. 12, 2016; Am. 2026, Act 13, Imd. Eff. May 14, 2026
MCL 123.1135 Recreational authority; establishment; articles of incorporation; adoption; applicability of subsection (3); publication; filing copy with secretary of state; effect.
123.1135. Recreational authority; establishment; articles of incorporation; adoption; applicability of subsection (3); publication; filing copy with secretary of state; effect.
Sec. 5.
(1) Except as otherwise provided in this section, 2 or more municipalities or districts may establish a recreational authority. If the municipality, municipalities, district, or districts are located in a county with a population of less than 4,000, 1 or more municipalities or districts may establish a recreational authority. A recreational authority is an authority under section 6 of article IX of the state constitution of 1963. A recreational authority under this act constitutes a governmental subdivision or unit of this state and a public body corporate and politic. A recreational authority under this act is a local unit of government or public authority under section 1901 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.1901.
(2) To initiate the establishment of an authority, articles of incorporation must be prepared. The articles of incorporation must include all of the following:
(a) The name of the authority.
(b) The names of the participating municipality or municipalities.
(c) A description of the territory of the authority.
(d) The size of the board of the authority, which must be comprised of an odd number of members; the qualifications, method of selection, and terms of office of board members; and the filling of vacancies in the office of board member. If board members are elected in at-large elections by the qualified and registered electors of the participating municipality or municipalities, voting collectively, the election of board members must be conducted under the same procedures that govern an election for a tax under sections 13 to 17.
(e) The purposes for which the authority is established. Permissible purposes include the acquisition, construction, operation, maintenance, or improvement of 1 or more of the following:
(i) A public swimming pool.
(ii) A public recreation center.
(iii) A public auditorium.
(iv) A public conference center.
(v) A public park.
(vi) A public museum.
(vii) A public historic farm.
(viii) If the territory of the authority is located only in a county with a population of less than 4,000, a public forest and natural resources area.
(f) The procedure and requirements for a municipality or district to become a participating municipality in, and for a participating municipality to withdraw from, an existing authority or to join in the original formation of an authority. For a municipality or district to become a participating municipality in an existing authority or to join in the original formation of an authority, a majority of the electors of the municipality or district proposed to be included in the territory of the authority and voting on the question shall approve a tax that the authority has been authorized to levy by a vote of the electors of the authority under section 11. A municipality or district shall not withdraw from an authority during the period for which the authority has been authorized to levy a tax by the electors of the authority.
(g) Any other matters considered advisable.
(h) If the authority's purpose includes the acquisition, construction, operation, maintenance, or improvement of a public forest and natural resources area, the process by which the authority designates property the authority owns as a public forest and natural resources area.
(3) The articles must be adopted by an affirmative vote of a majority of the members serving on the legislative body of each participating municipality. If a participating municipality is a district, the articles must be adopted by an affirmative vote of a majority of the members serving on the legislative body of the entire municipality. Unless the articles provide otherwise, the requirements of this subsection do not apply to an amendment to the articles to allow a municipality or district to become a participating municipality in, or to allow a participating municipality to withdraw from, an existing authority.
(4) Before the articles or amendments to the articles are adopted, the articles or amendments to the articles must be published not less than once in a newspaper generally circulated within the participating municipality or municipalities. The adoption of articles or amendments to the articles by a municipality or district must be evidenced by an endorsement on the articles or amendments by the clerk of the municipality.
(5) After adoption of the articles or amendments to the articles by each participating municipality, a printed copy of the articles or the amended articles must be filed with the secretary of state by the clerk of the last participating municipality to adopt the articles or amendments.
(6) The authority's articles of incorporation, or amendments to the articles, take effect on filing with the secretary of state.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2003, Act 135, Imd. Eff. Aug. 1, 2003; Am. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1135a Articles of incorporation; additional provisions; applicability of section.
123.1135a. Articles of incorporation; additional provisions; applicability of section.
Sec. 5a.
(1) Subject to this section and section 5, the articles may include, but are not limited to, any of the following:
(a) Restrictions on the authority's activities, including, but not limited to, the sale of the authority's assets or property.
(b) If the authority's purpose includes the acquisition, construction, operation, maintenance, or improvement of a public forest and natural resources area, a provision to allow or require the authority to make payments in lieu of taxes to 1 or more other governmental subdivisions or units of this state in which the public forest and natural resources area is located, including a participating municipality. The authority shall distribute the payments to the various taxing units based on the portion of the public forest and natural resources area each taxing unit is in and each taxing unit's millage rate, excluding millage levied under section 1211 of the revised school code, 1976 PA 451, MCL 380.1211.
(c) If the authority has more than 1 participating municipality, the allocation of the authority's property, assets, and funds among the municipalities on the dissolution of the authority.
(d) If the authority's purpose includes the acquisition, construction, operation, maintenance, or improvement of a public forest and natural resources area, 1 or more of the following:
(i) One or more restrictions or limitations on the use of a public forest and natural resources area or portions of a public forest and natural resources area. The use restrictions or limitations may prohibit 1 or more of the uses permitted in a public forest and natural resources area under section 3(j).
(ii) A process by which 1 or more restrictions or limitations on the use of a public forest and natural resources area or portions of a public forest and natural resources area are established by the authority, and the amendment or removal of the restrictions or limitations.
(e) If the board of the authority is elected, whether the election of the board is partisan or nonpartisan.
(2) The amendment of the articles is subject to the voting requirements specified by the articles. If the articles do not specify a voting requirement to amend the articles, the voting requirement to amend the articles is the same as the voting requirement to adopt the articles.
(3) This section applies only if the territory of an authority is located only in a county with a population of less than 4,000.
Add. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1137 Board of directors; vacancy; quorum; voting; reimbursement for expenses; conduct of public meeting; availability of writing; election of officers; adoption of bylaws.
123.1137. Board of directors; vacancy; quorum; voting; reimbursement for expenses; conduct of public meeting; availability of writing; election of officers; adoption of bylaws.
Sec. 7.
(1) A vacancy occurs on the board if any of the events set forth in section 3 of 1846 RS 15, MCL 201.3, occurs. Appointed members of the board, if any, may be removed by the appointing authority for good cause after a public hearing. Vacancies must be filled in the same manner as the original appointment, or as otherwise provided in the articles, for the unexpired term.
(2) A majority of the members of the board constitutes a quorum for the purpose of conducting business and exercising the powers of an authority. Official action may be taken by an authority on the vote of a majority of the board members present, unless the authority adopts bylaws requiring a larger number.
(3) A member of the board may receive compensation for services as a member of the board if approved in the articles and is entitled to reimbursement for reasonable expenses, including expenses for travel previously authorized by the board, incurred in the discharge of the board member's duties.
(4) The business that an authority performs must be conducted at a public meeting of the authority held in compliance with the open meetings act, 1976 PA 267, MCL 15.261 to 15.275. Public notice of the time, date, and place of the meeting must be given in the manner required by the open meetings act, 1976 PA 267, MCL 15.261 to 15.275.
(5) A writing prepared, owned, or used by an authority in the performance of an official function must be made available in compliance with the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.
(6) At its first meeting, a board shall elect a chairperson, a secretary, a treasurer, and any other officers it considers necessary. A board shall meet at least quarterly.
(7) A board may adopt bylaws to govern its procedures.
(8) A board may establish 1 or more committees to provide advice on specific issues relevant to the authority. The board may determine the qualifications required to serve on a committee created under this subsection. Members of a committee created by a board under this subsection serve at the pleasure of the board. Committees created under this subsection may create volunteer subcommittees that do not serve at the pleasure of the board.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1139 Powers of authority.
123.1139. Powers of authority.
Sec. 9.
An authority may do 1 or more of the following:
(a) Acquire and hold, by purchase, lease with or without option to purchase, grant, gift, devise, land contract, installment purchase contract, bequest, or other legal means, real and personal property inside or outside the territory of the authority. The property may include franchises, easements, or rights of way on, under, or above any property. The authority may pay for the property from, or pledge for the payment of the property, revenue of the authority.
(b) Apply for and accept grants or contributions from individuals, the federal government or any of its agencies, this state, a municipality, or other public or private agencies to be used for any of the purposes of the authority.
(c) Hire full-time or part-time employees and retain professional services.
(d) Provide for the maintenance of all of the real and personal property of the authority.
(e) Assess and collect fees for services provided by and expenses incurred by the authority.
(f) Receive revenue as appropriated by the legislature of this state or a participating municipality.
(g) Enter into contracts incidental to or necessary for the accomplishment of the purposes of the authority.
2000, Act 321, Eff. Dec. 1, 2000
MCL 123.1139a Powers of certain authorities.
123.1139a. Powers of certain authorities.
Sec. 9a.
If the territory of the authority is located only in a county with a population of less than 4,000, an authority may do 1 or more of the following, as permitted by the authority's articles:
(a) Acquire and hold, by purchase, lease with or without option to purchase, grant, gift, devise, land contract, installment purchase contract, bequest, or other legal means, real and personal property inside or outside the territory of the authority. The property may include franchises, easements, or rights-of-way on, under, or above any property. The authority may pay for the property from, or pledge for the payment of the property, revenue of the authority. The authority may acquire land from this state, including, but not limited to, land from any department, subdivision, or unit of this state.
(b) Apply for and accept grants or contributions from individuals, the federal government or any of its agencies, this state, a municipality, or other public or private agencies to be used for any of the purposes of the authority.
(c) Hire full-time or part-time employees and retain professional services.
(d) Provide for the maintenance of all of the real and personal property of the authority.
(e) Assess and collect fees for use of and access to property that the authority owns or manages, and for services provided by and expenses incurred by the authority.
(f) Receive revenue as appropriated by the legislature of this state or a participating municipality or distribute funds of the authority to any participating municipality.
(g) Enter into contracts incidental to or necessary for the accomplishment of the purposes of the authority.
(h) Sell, lease, license, or develop real and personal property held by the authority.
(i) Establish an endowment fund or other type of supporting fund to support the purposes of the authority.
(j) Subject to applicable laws and contractual obligations of the authority, make and enforce rules for the use of property the authority owns, operates, or manages.
(k) Permit and manage sustainable natural resource commercial activities, including, but not limited to, both of the following:
(i) The development, management, and operation of sustainable commercial forestry.
(ii) The sale of carbon or other environmental credits or tax attributes.
(l) Manage, maintain, and improve real and personal property inside or outside the territory of the authority that is not owned by the authority.
(m) Develop, construct, repair, and replace improvements to property, including buildings.
(n) Sue or be sued in any court of this state.
Add. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1140 Dissolution of an authority; use and designation of public forest and natural resource area property; third-party rights.
123.1140. Dissolution of an authority; use and designation of public forest and natural resource area property; third-party rights.
Sec. 10.
(1) Except as otherwise provided in this section, if an authority dissolves, all property, funds, and assets of the authority are vested in the participating municipality or municipalities. Except as otherwise provided in the articles of an authority, if an authority dissolves, the debts or liabilities of an authority do not become the debts or liabilities of the participating municipality or municipalities unless the participating municipality or municipalities have agreed to assume those debts or liabilities. If the participating municipality or municipalities do not agree to assume the authority's debts and liabilities, an authority must not dissolve unless the authority has repaid or settled all of the authority's debts and liabilities.
(2) If the property owned by an authority was designated by the authority as a public forest and natural resources area, on dissolution of the authority, the designated use of the property must be continued. If the designated use of the property is not continued by the participating municipality or municipalities, the property must revert to this state. The reversionary interest under this subsection is in addition to, and does not alter or supersede, any other reversionary interest the state may hold in the property.
(3) If property owned by an authority was designated by the authority as a public forest and natural resources area, the participating municipality or municipalities may elect to waive their right, in full or in part, to the property. If the participating municipality or municipalities waive their right, in full or in part, to the property, the property or portion of the property reverts to this state.
(4) If an authority was in existence before the effective date of the amendatory act that added this subsection and the authority's articles address the disposition of the authority's property, funds, and assets on dissolution, the articles control the disposition of the property, funds, and assets on dissolution.
(5) Nothing in this act alters or supersedes any third-party rights, including rights of the state or federal government, in or attached to the property owned by an authority.
Add. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1141 Public swimming pool, public recreation center, public auditorium, conference center, public park; public forest and natural resources area; tax levy; ballot proposal; vote; authorization; number of elections; proceeds; use.
123.1141. Public swimming pool, public recreation center, public auditorium, conference center, public park; public forest and natural resources area; tax levy; ballot proposal; vote; authorization; number of elections; proceeds; use.
Sec. 11.
(1) An authority may levy a tax of not more than 1 mill for a period of not more than 20 years on all of the taxable property within the territory of the authority for the purposes of acquiring, constructing, operating, maintaining, and improving a public swimming pool, public recreation center, public auditorium or conference center, public park, or public forest and natural resources area. The authority may levy the tax only on the approval of a majority of the electors in each of the participating municipalities of the authority voting on the tax on November 6, 2001 or, thereafter, at a statewide general or primary election. The proposal for a tax must be submitted to a vote of the electors of the authority by resolution of the board.
(2) A ballot proposal for a tax must state the amount and duration of the millage and the purposes for which the millage may be used. A proposal for a tax must not be placed on the ballot unless the proposal is adopted by a resolution of the board and certified by the board not later than 60 days before the election to the county clerk of each county in which all or part of the territory of the authority is located for inclusion on the ballot. The proposal must be certified for inclusion on the ballot at the next eligible election, as specified by the board's resolution.
(3) If a majority of the electors in each of the participating municipalities of the authority voting on the question of a tax approve the proposal as provided under subsection (1), the tax levy is authorized. Not more than 2 elections may be held in a calendar year on a proposal for a tax authorized under this act.
(4) The proceeds of a tax levied under this section must only be used by the authority for those purposes described in this section and must not be used by the authority for either of the following:
(a) Except as otherwise provided in subsection (5), any general fund purposes by any participating municipality.
(b) Any school operating purposes, as that term is defined in section 20 of the state school aid act of 1979, 1979 PA 94, MCL 388.1620, by any participating municipality that is a school district.
(5) The proceeds of a tax levied under this section may be used for general fund purposes by a participating municipality if the proceeds used are directly related to managing the operation of the business of the authority pursuant to a contract between the authority and that participating municipality.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2003, Act 135, Imd. Eff. Aug. 1, 2003; Am. 2016, Act 173, Eff. Sept. 12, 2016; Am. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1142 Preferences or benefits to be offered to residents.
123.1142. Preferences or benefits to be offered to residents.
Sec. 12.
If a majority of electors in each of the participating municipalities of the authority voting on the question of a tax as provided in section 11 approve the tax, the authority shall consider offering preferences or benefits for the residents of the participating municipalities that include, but are not limited to, any of the following:
(a) Discounted admission fees.
(b) Discounted membership fees.
(c) Discounts for school children.
(d) Access to educational programs.
Add. 2016, Act 173, Eff. Sept. 12, 2016
MCL 123.1143 Tax election; ballots provided by county election commission; conduct; list of qualified electors.
123.1143. Tax election; ballots provided by county election commission; conduct; list of qualified electors.
Sec. 13.
(1) The county election commission of each county in which all or part of a participating municipality is located shall provide ballots for an election for a tax under section 11 for each participating municipality or part of a participating municipality located within the county.
(2) An election for a tax shall be conducted by the city and township clerks and election officials of the municipalities located within the territory of the authority.
(3) If an election on a proposal for a tax is to be held in conjunction with a general election or state primary election and if a participating village is located within a nonparticipating township, the township clerk and election officials shall conduct the election. Not later than 45 days preceding the election, the village clerk shall provide to the township clerk a list containing the name, address, and birth date of each qualified and registered elector of the village residing in the territory of the authority. Not later than 15 days before the election, the village clerk shall provide to the township clerk information updating the list as of the close of registration. A person appearing on the list as updated is eligible to vote in the election by special ballot.
2000, Act 321, Eff. Dec. 1, 2000
MCL 123.1145 Notices of close of registration and election; publication; certification of election results.
123.1145. Notices of close of registration and election; publication; certification of election results.
Sec. 15.
(1) If an election for a tax under section 11 is to be held in conjunction with a general election or a state primary election, the notices of close of registration and election shall be published as provided for by the state election laws. Otherwise, the county clerk of the largest county shall publish the notices of close of registration and election. The notice of close of registration shall include the ballot language of the proposal.
(2) The results of an election for a tax shall be canvassed by the board of county canvassers of each county in which a participating municipality is located. The board of county canvassers of a county in which a participating municipality is located and that is not the largest county shall certify the results of the election to the board of county canvassers of the largest county. The board of county canvassers of the largest county shall make the final canvass of an election for a tax based on the returns of the election inspectors of the participating municipalities in that county and the certified results of the board of county canvassers of every other county in which a participating municipality is located. The board of county canvassers of the largest county shall certify the results of the election to the board of the authority.
2000, Act 321, Eff. Dec. 1, 2000
MCL 123.1147 Tax election; costs; reimbursement; basis.
123.1147. Tax election; costs; reimbursement; basis.
Sec. 17.
(1) A county clerk shall charge the authority and the authority shall reimburse the county for the actual costs the county incurs in an election for a tax under section 11 that occurs on November 6, 2001.
(2) If a participating municipality conducts an election for a tax, the clerk of that participating municipality shall charge the authority and the authority shall reimburse the participating municipality for the actual costs the participating municipality incurs in conducting the election if the election is not held in conjunction with a regularly scheduled election in that municipality.
(3) In addition to costs reimbursed under subsection (1) or (2), a county or municipality shall charge the authority and the authority shall reimburse the county or municipality for actual costs that the county or municipality incurs and that are exclusively attributable to an election for a tax authorized under this act.
(4) The actual costs that a county or municipality incurs shall be based on the number of hours of work done in conducting the election, the rates of compensation of the workers, and the cost of materials supplied in the election.
2000, Act 321, Eff. Dec. 1, 2000
MCL 123.1149 Collection and distribution of tax.
123.1149. Collection and distribution of tax.
Sec. 19.
The tax shall be collected with county taxes and distributed by the local tax collecting unit under the provisions of the general property tax act, 1893 PA 206, MCL 211.1 to 211.157.
2000, Act 321, Eff. Dec. 1, 2000
MCL 123.1151 Borrowing money or issuing bonds or notes.
123.1151. Borrowing money or issuing bonds or notes.
Sec. 21.
(1) An authority may borrow money and issue bonds or notes to finance the acquisition, construction, and improvement of a public swimming pool, a public recreation center, a public auditorium, a public conference center, a public park, or a public forest and natural resources area, including the acquisition of sites and the acquisition and installation of furnishings and equipment for these purposes.
(2) An authority shall not borrow money or issue bonds or notes for a sum that, together with the total outstanding bonded indebtedness of the authority, exceeds 2 mills of the taxable value of the taxable property within the district as determined under section 27a of the general property tax act, 1893 PA 206, MCL 211.27a.
(3) Bonds or notes issued by an authority are a debt of the authority and not of the participating municipalities.
(4) A tax levied to pay a bond or note obligation by a recreational authority under this act must not exceed 5 years without the approval of a majority of the electors in each of the participating municipalities of the authority.
(5) All bonds or notes issued by a recreational authority under this act are subject to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2002, Act 233, Imd. Eff. Apr. 29, 2002; Am. 2003, Act 135, Imd. Eff. Aug. 1, 2003; Am. 2026, Act 12, Imd. Eff. May 14, 2026
MCL 123.1153 Issuance of general obligation unlimited tax bonds; submission of proposal for vote; ballot language; conduct of election; authorization and levy of tax.
123.1153. Issuance of general obligation unlimited tax bonds; submission of proposal for vote; ballot language; conduct of election; authorization and levy of tax.
Sec. 23.
(1) An authority may issue general obligation unlimited tax bonds upon approval of a majority of the electors in each of the participating municipalities of the authority voting on the question of issuing the bonds. The proposal to issue general obligation unlimited tax bonds shall be submitted to a vote of the electors of the authority by resolution of the board.
(2) The language of the ballot proposal shall be in substantially the following form:
"Shall [name of authority], formed by [names of participating municipalities], borrow the sum of not to exceed __________ dollars ($ __________) and issue its general obligation unlimited tax bonds for all or a portion of that amount for the purpose of __________?
This is expected to result in an increase of _______ in the tax levied on property valued at _______ for a period of _______ years.
Yes [ ] No [ ]".
(3) The election shall be conducted in the manner provided in sections 11 to 17 for an election for a tax. Not more than 2 elections on the question of issuing general obligation unlimited tax bonds may be held in a calendar year.
(4) If an authority issues general obligation unlimited tax bonds under this section, the board, by resolution, shall authorize and levy the taxes necessary to pay the principal of and interest on the bonds.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2003, Act 135, Imd. Eff. Aug. 1, 2003
MCL 123.1155 Refunding outstanding debt obligations.
123.1155. Refunding outstanding debt obligations.
Sec. 25.
(1) An authority may borrow money and issue its negotiable bonds and notes for the purpose of refunding outstanding debt obligations of the district by resolution of the board, without submitting the question to the electors of the authority.
(2) Refunding bonds or the refunding part of a bond issue shall be considered to be within the 2-mill limitation of section 21(2).
(3) An authority may borrow money and issue bonds or notes for refunding all or part of existing bonded or note indebtedness only if the net present value of the principal and interest to be paid on the refunding bonds or notes, excluding the cost of issuance, will be less than the net present value of the principal and interest to be paid on the bonds or notes being refunded, as calculated using a method approved by the department of treasury.
2000, Act 321, Eff. Dec. 1, 2000
MCL 123.1157 Audit; timing; preparation of budgets and appropriations acts; powers, duties, and immunities; filing financial plan to correct deficit condition; investment or deposit of funds.
123.1157. Audit; timing; preparation of budgets and appropriations acts; powers, duties, and immunities; filing financial plan to correct deficit condition; investment or deposit of funds.
Sec. 27.
(1) A board shall obtain an audit of the authority as required in this section, and report on the audit and auditing procedures, in the manner provided by sections 6 to 13 of the uniform budgeting and accounting act, 1968 PA 2, MCL 141.426 to 141.433. The audit must also be in accordance with generally accepted government auditing standards as promulgated by the United States Government Accountability Office and must satisfy federal regulations relating to federal grant compliance audit requirements.
(2) If an authority levies and collects a tax, or if an authority does not levy or collect a tax and has $100,000.00 or more in yearly expenditures, the board shall obtain an annual audit of the authority.
(3) If an authority does not levy or collect a tax and has less than $100,000.00 in yearly expenditures, the board shall obtain an audit of its financial records, accounts, and procedures not less frequently than biennially. However, if any audit under this subsection discloses a material deviation from generally accepted accounting practices or from applicable rules and regulations of a state department or agency or discloses any fiscal irregularity, defalcation, misfeasance, nonfeasance, or malfeasance, the department of treasury may require an audit to be conducted in the next year.
(4) An authority shall prepare budgets and appropriations acts in the manner provided by sections 14 to 19 of the uniform budgeting and accounting act, 1968 PA 2, MCL 141.434 to 141.439.
(5) The state treasurer, the attorney general, a prosecuting attorney, bank, certified public accountant, certified public accounting firm, or other person has the same powers, duties, and immunities with respect to the authority as provided for local units in sections 6 to 20 of the uniform budgeting and accounting act, 1968 PA 2, MCL 141.426 to 141.440.
(6) If an authority ends a fiscal year in a deficit condition, the authority shall file a financial plan to correct the deficit condition in the same manner as provided in section 21(2) of the Glenn Steil state revenue sharing act of 1971, 1971 PA 140, MCL 141.921.
(7) The board may authorize funds of the authority to be invested or deposited in any investment or depository authorized under section 1 of 1943 PA 20, MCL 129.91.
2000, Act 321, Eff. Dec. 1, 2000; Am. 2019, Act 128, Imd. Eff. Nov. 21, 2019
Source: Michigan Legislature (legislature.mi.gov)URL: https://legislature.mi.gov/documents/mcl/Chapter%20123.xmlFetched: 10/20/2026