Act No. 205

Public Acts of 2024

Approved by the Governor

January 16, 2025

Filed with the Secretary of State

January 16, 2025

EFFECTIVE DATE:  April 2, 2025

state of michigan

102nd Legislature

Regular session of 2024

Introduced by Reps. Grant and Breen

ENROLLED HOUSE BILL No. 4679

AN ACT to amend 1933 PA 94, entitled “An act to authorize public corporations, or officers of certain public corporations, to purchase, acquire, construct, improve, enlarge, extend, or repair public improvements within or without their corporate limits, and to own, operate, and maintain the same; to authorize the creation, operation, and financing of certain delinquent tax systems; to authorize the condemnation of property for such public improvements; to provide for the imposition and collection of charges, fees, rentals, or rates for the services, facilities, and commodities furnished by such public improvements; to provide for the issuance of bonds or notes and refunding bonds or notes payable from the revenues of public improvements or from delinquent tax systems; to provide for a pledge by public corporations of their full faith and credit and the levy of taxes without limitation as to rate or amount to the extent necessary for the payment of the bonds or notes, or for advancing money from general funds for payment of bonds or notes; to provide for payment, retirement, and security of such bonds; to provide for the imposition of special assessment bonds for the purpose of refunding outstanding revenue bonds; to prescribe the powers and duties of the department of treasury and of the municipal finance commission or its successor agency relative to such bonds or notes and relative to private activity bonds issued by a state or local governmental entity; to provide for other matters in respect to such public improvements and bonds or notes and to validate action taken and bonds issued; and to prescribe penalties and provide remedies,” by amending section 18 (MCL 141.118), as amended by 1987 PA 229.

The People of the State of Michigan enact:

Sec. 18. (1) Except as provided in subsection (2) or (3), free service shall not be furnished by a public improvement to a person, firm, or corporation, public or private, or to a public agency or instrumentality. The reasonable cost and value of any service rendered to a public corporation, including the borrower, by a public improvement must be charged against the public corporation and must be paid for as the service accrues from the public corporation’s current funds or from the proceeds of taxes, which the public corporation, within constitutional limitations, is hereby authorized and required to levy in an amount sufficient for that purpose, or both, and those charges, when so paid, shall be accounted for in the same manner as other revenues of the public improvement.

(2) A public improvement that is a hospital or other health care facility may provide medical care to the indigent without charge or at reduced rates and may provide medical care without charge to comply with conditions for the receipt of a grant or contribution from a public or private donor.

(3) A public improvement may provide a free service to a land bank fast track authority created under the land bank fast track act, 2003 PA 258, MCL 124.751 to 124.774.

Clerk of the House of Representatives

Secretary of the Senate

Approved___________________________________________

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Governor