Michigan House Bill HB5099

Michigan 2023-2024 Regular Session

• Introduced: 10/5/23
• Refer: 10/5/23
• Report Pass: 10/25/23
• Engrossed: 10/31/23
• Refer: 11/1/23
• Report Pass: 3/19/24
• Enrolled: 4/10/24
• Chaptered: 7/30/24
• Passed: 7/30/24

Caption

Economic development: Michigan strategic fund; research and development tax credit program report; require the Michigan strategic fund to assist in its preparation. Amends sec. 9 of 1984 PA 270 (MCL 125.2009).

Impact

The proposed amendments place an emphasis on accountability and transparency by requiring the Michigan strategic fund to provide annual reports detailing financial assistance allocations, job creation statistics, and the performance of various programs funded by the state. This not only strengthens the legislative oversight but also establishes benchmarks for measuring the effectiveness of economic initiatives. Additionally, certain exemptions related to taxes for the fund and its operations are maintained to encourage investment and operational sustainability.

Summary

House Bill 5099 seeks to amend the existing Michigan strategic fund legislation by enhancing its responsibilities and reporting requirements. The bill aims to foster economic development in Michigan through improved financial assistance programs which may include grants, loans, and other forms of economic support. It outlines the duties of the Michigan strategic fund, transferring powers and responsibilities previously held by the job development authority and the Michigan economic development authority. The changes reflect a strategic shift to bolster the state's economic capabilities to attract investments and create jobs.

Sentiment

The sentiment around HB 5099 appears to be predominantly positive among proponents who argue that it will significantly support job growth and attract investment into Michigan. Many lawmakers and stakeholders believe that enhancing the strategic fund's capabilities is essential for the state's economic recovery and growth. However, concerns have been raised about the potential for misuse of funds and the need for rigorous audits to ensure that the resources are utilized effectively.

Contention

A major point of contention in the discussions surrounding HB 5099 revolves around the accountability measures that will be implemented. Critics stress that while the bill expands the powers of the Michigan strategic fund, there must be strict controls and transparency in how funds are disbursed to prevent inefficiencies or potential corruption. The bill's critics worry that without stringent oversight, the intended benefits of job creation and economic growth might not be realized, leading to calls for additional amendments to strengthen accountability mechanisms.