HOUSE BILL No. 6656

 

November 14, 2006, Introduced by Reps. Kolb and Zelenko and referred to the Committee on Commerce.

 

     A bill to authorize the issuance of general obligation bonds

 

of this state to finance public and private energy efficiency

 

initiatives; to pledge the full faith and credit of this state for

 

the payment of principal and interest on the bonds; to pay for

 

issuing the bonds; to provide for other measures relating to the

 

bonds; and to provide for the submission of the question of the

 

issuance of the bonds to the electors of this state.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"Michigan energy efficiency initiative bond authorization act".

 

     Sec. 2. This state shall borrow a sum not to exceed

 

$10,000,000.00 and issue the general obligation bonds of this

 

state, pledging the full faith and credit of this state for the

 

payment of principal and interest on the bonds, to finance up to


 

$10,000,000.00 for public and private energy efficiency

 

initiatives.

 

     Sec. 3. Bonds shall be issued pursuant to conditions, methods,

 

and procedures to be established by law.

 

     Sec. 4. The proceeds of the sale of the bonds or any series of

 

the bonds, any premium and accrued interest received on the

 

delivery of the bonds, and any interest earned on the proceeds of

 

the bonds shall be deposited in the state treasury and credited to

 

the Michigan energy efficiency initiative bond fund created in the

 

Michigan energy efficiency initiative bond implementation act and

 

shall be disbursed from that fund only for the purposes for which

 

the bonds have been authorized, including the expense of issuing

 

the bonds. The proceeds of sale of the bonds or any series of the

 

bonds, any premium and accrued interest received on the delivery of

 

the bonds, and any interest earned on the proceeds of the bonds

 

shall be expended for the purposes set forth in this act in a

 

manner as provided by law.

 

     Sec. 5. The question of borrowing a sum not to exceed

 

$10,000,000.00 and the issuance of the general obligation bonds of

 

this state for the purposes set forth in this act shall be

 

submitted to a vote of the electors of this state qualified to vote

 

on the question pursuant to section 15 of article IX of the state

 

constitution of 1963, at the next general election. The question

 

submitted to the electors shall be substantially as follows:

 

     "Shall the state of Michigan borrow a sum not to exceed

 

$10,000,000.00 and issue general obligation bonds of this state,

 

pledging the full faith and credit of this state for the payment of


 

principal and interest on the bonds to finance up to $10,000,000.00

 

for public and private energy efficiency initiatives, with the

 

method of repayment of the bonds to be from the general fund of

 

this state?

 

     Yes........

 

     No......... .".

 

     Sec. 6. The secretary of state shall perform all acts

 

necessary to properly submit the question prescribed by section 5

 

to the electors of this state qualified to vote on the question at

 

the next general November election.

 

     Sec. 7. (1) After the issuance of the bonds authorized by this

 

act, there shall be appropriated from the general fund of this

 

state each fiscal year a sufficient amount to pay promptly, when

 

due, the principal of and interest on all outstanding bonds

 

authorized by this act and the costs incidental to the payment of

 

the bonds.

 

     (2) The governor shall include the appropriation provided in

 

subsection (1) in the governor's annual executive budget

 

recommendations to the legislature.

 

     Sec. 8. Bonds shall not be issued under this act unless the

 

question set forth in section 5 is approved by a majority vote of

 

the qualified electors voting on the question.