Michigan Senate Bill SB0303

Michigan 2023-2024 Regular Session

• Introduced: 4/27/23
• Refer: 4/27/23
• Report Pass: 5/24/23
• Refer: 5/24/23
• Engrossed: 5/24/23
• Report Pass: 6/21/23
• Enrolled: 6/28/23
• Chaptered: 8/22/23
• Passed: 8/22/23

Caption

Energy: alternative sources; property assessed clean energy program; include environmental hazard and new construction projects and agricultural and multifamily property. Amends title & secs. 3, 5, 7, 11, 13, 15 & 17 of 2010 PA 270 (MCL 460.933 et seq.).

Impact

If enacted, this bill will significantly impact state laws surrounding renewable energy and energy efficiency regulations. The changes will empower local governments to create tailored clean energy programs that cater to specific community needs while protecting against environmental hazards. These local programs will not only help mitigate climate risks but may also stimulate economic growth by allowing communities to initiate infrastructure improvements financed through property assessments. The bill seeks to cultivate a more resilient and sustainable economy that embraces environmental responsibility and public health initiatives.

Summary

Senate Bill 303 (SB0303) seeks to amend the Public Acts of 2010, specifically regarding property assessed clean energy (PACE) programs. The bill allows local units of government to adopt these programs and set up districts that promote the use of renewable energy systems and energy efficiency improvements. Notably, SB0303 expands the scope of these programs to also include agricultural and multifamily properties, along with provisions addressing environmental hazards such as lead contamination, flooding, and drought mitigation. The financing for these programs will be facilitated through voluntary property assessments, bonds, and notes issued by local governments, enabling residents to invest in renewable energy improvements without upfront costs.

Sentiment

The sentiment around SB0303 reflects a positive outlook among proponents, including environmental advocates and local government officials, who argue that it is an essential step towards encouraging clean energy usage and residential investment in energy efficiency. However, there are concerns voiced by some stakeholders about the potential financial implications for property owners and the management of public funds. The discussion highlights a growing trend toward localism in addressing climate issues, yet it brings forth challenges related to financing and governance that need careful consideration.

Contention

Key points of contention revolve around the financial mechanisms of the proposed PACE programs. Opponents worry about the liabilities that property assessments could place on homeowners, especially those who may be reluctant to take on additional debt for energy improvements. There are also apprehensions regarding the efficiency and transparency of the program's administration at the local government level. As SB0303 aims to integrate environmental and energy projects into a cohesive framework for local governance, it raises questions about how effectively local entities can implement and manage these projects while ensuring community involvement and equity.