SENATE BILL NO. 1130

September 22, 2020, Introduced by Senators CHANG, BULLOCK, ALEXANDER, IRWIN, POLEHANKI, WOJNO and ANANICH and referred to the Committee on Local Government.

A bill to require a municipal housing ordinance to use certain factors in designating the area median income for making determinations regarding affordable housing; and to provide for the powers and duties of certain local governmental officers and entities.

the people of the state of michigan enact:

Sec. 1. As used in this act:

(a) "Affordable housing" means housing for which the occupants pay no more than 30% of their income for gross housing costs.

(b) "Area median income" means the median household income, adjusted for family size, of a geographic area of this state.

(c) "Federal poverty level" means the poverty guidelines published annually in the Federal Register by the United States Department of Health and Human Services under its authority to revise the poverty line under 42 USC 9902.

(d) "Housing ordinance" means an ordinance, rule, resolution, or regulation of a municipality that governs housing-related activities.

(e) "Municipality" means a city, village, or township.

(f) "Poverty rate" means the percentage of all individuals residing in a municipality whose family income is less than the federal poverty level applicable to that family.

Sec. 2. A housing ordinance of a municipality that has a poverty rate equal to or greater than 20% must require the use of the current United States Department of Housing and Urban Development Metropolitan Fair Market Rent Area published under 42 USC 1437f that is specific to that municipality for designating the area median income applicable to that municipality in making a determination concerning affordable housing.

Enacting section 1. This act takes effect 90 days after the date it is enacted into law.