Michigan Laws 460.945 – Bonds or notes; issuance
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Terms Used In Michigan Laws 460.945
- District: means a district created under a property assessed clean energy program by a local unit of government that lies within the local unit of government's jurisdictional boundaries. See Michigan Laws 460.933
- Governing body: means the county board of commissioners of a county, the township board of a township, or the council or other similar elected legislative body of a city or village. See Michigan Laws 460.933
- Lien: A claim against real or personal property in satisfaction of a debt.
- Local unit of government: means a county, township, city, or village. See Michigan Laws 460.933
- Person: means an individual, firm, partnership, association, corporation, unincorporated joint venture, or trust, organized, permitted, or existing under the laws of this state or any other state, including a federal corporation, or a combination thereof. See Michigan Laws 460.933
- program: means a program as described in section 5(2). See Michigan Laws 460.933
- Property: means privately owned commercial or industrial real property located within the local unit of government. See Michigan Laws 460.933
- state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o
(1) A local unit of government may issue bonds or notes to finance energy projects under a property assessed clean energy program.
(2) Bonds or notes issued under subsection (1) shall not be general obligations of the local unit of government, but shall be secured by 1 or more of the following as provided by the governing body in the resolution or ordinance approving the bonds or notes:
(a) Payments of assessments on benefited property within the district or districts specified.
(b) Reserves established by the local unit of government from grants, bond or note proceeds, or other lawfully available funds.
(c) Municipal bond insurance, lines or letters of credit, public or private guaranties, standby bond purchase agreements, collateral assignments, mortgages, and any other available means of providing credit support or liquidity, including, but not limited to, arrangements described in section 315 of the revised municipal finance act, 2001 PA 34, MCL 141.2315.
(d) Tax increment revenues that may be lawfully available for such purposes.
(e) Any other amounts lawfully available for such purposes.
(3) A pledge of assessments, funds, or contractual rights made by a governing body in connection with the issuance of bonds or notes by a local unit of government under this act constitutes a statutory lien on the assessments, funds, or contractual rights so pledged in favor of the person or persons to whom the pledge is given, without further action by the governing body. The statutory lien is valid and binding against all other persons, with or without notice.
(4) Bonds or notes of 1 series issued under this act may be secured on a parity with bonds or notes of another series issued by the local unit of government pursuant to the terms of a master indenture or master resolution entered into or adopted by the governing body of the local unit of government.
(5) Bonds or notes issued under this act are subject to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821.
(6) Bonds or notes issued under this act, and interest payable on such bonds and notes, are exempt from all taxation by this state and its political subdivisions.
(7) Bonds or notes issued under this act further essential public and governmental purposes, including, but not limited to, reduced energy costs, reduced greenhouse gas emissions, economic stimulation and development, improved property valuation, and increased employment.