Michigan Senate Bill SB1053

Michigan 2023-2024 Regular Session

• Introduced: 10/30/24
• Refer: 10/30/24

Caption

State management: funds; funding for businesses with lost revenue due to road construction projects; provide for. Amends 1951 PA 51 (MCL 247.651 - 247.675) by adding sec. 10q.

Impact

The implementation of SB1053 is expected to positively impact state laws regarding financial support for businesses affected by construction. By creating a dedicated fund to offer grants, the bill bridges a gap for businesses that may otherwise suffer financially without recourse. Furthermore, it requires the state to report annually to relevant legislative committees about the fund's utilization, ensuring transparency and accountability in the management of public resources dedicated to this program. This will help lawmakers understand the demand for these grants and potentially adjust future funding as needed.

Summary

Senate Bill 1053 aims to amend the 1951 PA 51 by adding Section 10q, which establishes a road construction business loss reimbursement program. This program is designed to provide financial assistance to businesses that experience a decline in revenue due to unexpected street closures or construction projects that significantly exceed their scheduled completion dates. Eligible businesses can apply for grants equal to their revenue loss, up to a maximum of $15,000 per year. The goal is to provide necessary support for local businesses during periods when their normal operations are adversely affected by road construction activities.

Contention

Notable points of contention around SB1053 may revolve around the efficacy of the grant program and the criteria for qualification. Critics might raise concerns about the decision-making process for granting funds, arguing that the criteria for approval could be too subjective. There might also be discussions about whether $15,000 adequately meets the potential losses incurred by small businesses facing significant disruptions, especially in high-traffic areas where prolonged construction can lead to substantial revenue drops. Additionally, there may be debates regarding the funding source for the program and any potential implications for state budget priorities.