Public Act 593 of 2002

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• Introduced by Sen. Beverly Hammerstrom (R) on May 9, 2002, to create a “Michigan Next Energy Authority” with broad authority to subsidize alternative energy technology projects using various state resources. The Authority would oversee an alternative energy renaissance zone; manage and develop a master plan for the alternative energy zone; finance and aid in the construction of alternative energy technology businesses and infrastructures located within the zone; acquire, construct, and improve an alternative energy technology project, including land, buildings, equipment, and various types of facilities for alternative energy technology; issue bonds and notes; and enter into an interlocal agreement with a university, agency, or local government to accomplish the above. The bill would transfer to the Authority 817 acres of state land in Washtenaw County, and allow it to convey, sell, lease, or otherwise dispose of its real or personal property to any public or private person for public purposes. Finally, the bill would create a "Michigan Alternative Energy Technology Fund” to fund general operations and to secure notes and bonds of the Authority.
  • Referred to the Senate Finance Committee on May 9, 2002.
  • Substitute offered in the Senate on June 5, 2002, to replace the previous version of the bill with one which narrows somewhat the powers of the “Michigan Next Energy Authority” (MNEA), focusing some of its activities more explicitly on the actual alternative energy renaissance zone that is contemplated under the revised package. MNEA still be granted broad enumerated powers, the enumeration of which would not to be construed as a limitation on MNEA's general authority. The land to be transferred to MNEA is four parcels of state-owned land located in York Township (Washtenaw County) comprising approximately 724 acres, which previously had been used for hospitalization of mentally ill patients. The substitute passed by voice vote in the Senate on June 5, 2002.
  • Amendment offered by Sen. John Cherry (D) on June 6, 2002, to require, rather than just permit, the Next Energy board to have conflict of interest standards. The amendment passed by voice vote in the Senate on June 6, 2002.
  • Amendment offered by Sen. Dianne Byrum (D) on June 6, 2002, to require a majority of the full Next Energy board to approve any actions, even when it is just starting out. The amendment passed by voice vote in the Senate on June 6, 2002.
  • Amendment offered by Sen. John Cherry (D) on June 6, 2002, to more narrowly focus some of MNEA's authority within on the actual alternative energy renaissance zone, restricting it to buying and selling property within the zone, and make explicit that certain tax exemptions are on personal property, not real property. The amendment passed by voice vote in the Senate on June 6, 2002.
  • Amendment offered by Sen. Gary Peters (D) on June 6, 2002, to require Next Energy board members to serve (and be dismissed) at the pleasure of the governor, rather than for a fixed term. The amendment failed 14 to 23 in the Senate on June 6, 2002.
    Who Voted "Yes" and Who Voted "No"
  • Amendment offered by Sen. Gary Peters (D) on June 6, 2002, to give authority over the approval of certain alternative energy tax deductions, exemptions, or credits to the Department of Treasury, rather than the Next Energy authority. The amendment failed 13 to 24 in the Senate on June 6, 2002.
    Who Voted "Yes" and Who Voted "No"
• Passed 37 to 0 in the Senate on June 6, 2002, to create a “Michigan Next Energy Authority” (MNEA) with broad authority to subsidize alternative energy technology projects using various state resources. MNEA would oversee an alternative energy renaissance zone; manage and develop a master plan for the alternative energy zone; finance and aid in the construction of alternative energy technology businesses and infrastructures located within the zones; acquire, construct, and improve an alternative energy technology project, including land, buildings, equipment, and various types of facilities for alternative energy technology; issue bonds and notes; and enter into an interlocal agreement with a university, agency, or local government to accomplish the above. MNEA would be responsible for granting to selected persons various property tax and Single Business Tax exemptions created by the companion bills. The bill would transfer to MNEA 724 acres of state land in York Township (Washtenaw County), and allow it to convey, sell, lease, or otherwise dispose of its real or personal property to any public or private person for public purposes. Finally, the bill would create a "Michigan Alternative Energy Technology Fund” to fund general operations and to secure notes and bonds of the Authority. MNEA would be granted broad enumerated powers, the enumeration of which would not to be construed as a limitation on MNEA's general authority.
  Who Voted "Yes" and Who Voted "No"
• Received in the House on June 6, 2002, to create a “Michigan Next Energy Authority” (MNEA) with broad authority to subsidize alternative energy technology projects using various state resources. MNEA would oversee an alternative energy renaissance zone; manage and develop a master plan for the alternative energy zone; finance and aid in the construction of alternative energy technology businesses and infrastructures located within the zones; acquire, construct, and improve an alternative energy technology project, including land, buildings, equipment, and various types of facilities for alternative energy technology; issue bonds and notes; and enter into an interlocal agreement with a university, agency, or local government to accomplish the above. MNEA would be responsible for granting to selected persons various property tax and Single Business Tax exemptions created by the companion bills. The bill would transfer to MNEA 724 acres of state land in York Township (Washtenaw County), and allow it to convey, sell, lease, or otherwise dispose of its real or personal property to any public or private person for public purposes. Finally, the bill would create a "Michigan Alternative Energy Technology Fund” to fund general operations and to secure notes and bonds of the Authority. MNEA would be granted broad enumerated powers, the enumeration of which would not to be construed as a limitation on MNEA's general authority.
  • Substitute offered in the House on June 27, 2002, to replace the previous version of the bill with one which further limits the powers of the “Michigan Next Energy Authority” (MNEA), and essentially makes it an arm of the existing Michigan Economic Growth Authority (MEGA), which would make decisions on where to locate the alternative energy renaissance zone. Provisions transferring 724 acres of state-owned land located in York Township (Washtenaw County) are removed, because local municipalities were unable to provide water to the site. Instead, the Michigan Economic Development Corporation, which is the parent organization of MEGA, has announced that the new site will be in downtown Detroit near Wayne State University. The substitute passed by voice vote in the House on June 27, 2002.
  • Amendment offered by Rep. Ken Bradstreet (R) on June 27, 2002, to incorporate a statute reference which clarifies but does not affect the substance of the bill as previously described. The amendment passed by voice vote in the House on June 27, 2002.
• Passed 107 to 1 in the House on June 27, 2002, to create a “Michigan Next Energy Authority” (MNEA) with broad authority to subsidize alternative energy technology projects using various state resources. MNEA would oversee an alternative energy renaissance zone; manage and develop a master plan for the alternative energy zone; finance and aid in the construction of alternative energy technology businesses and infrastructures located within the zones; acquire, construct, and improve an alternative energy technology project, including land, buildings, equipment, and various types of facilities for alternative energy technology; issue bonds and notes; and enter into an interlocal agreement with a university, agency, or local government to accomplish the above. MNEA would be responsible for granting to selected persons various personal property tax and Single Business Tax exemptions created by the companion bills. Any state school tax exemptions would have to be repaid to the school aid fund from the state general fund (funded by other state tax revenues). The bill would transfer to MNEA 724 acres of state land in York Township (Washtenaw County), and allow it to convey, sell, lease, or otherwise dispose of its real or personal property in the zone to any public or private person for public purposes. Finally, the bill would create a "Michigan Alternative Energy Technology Fund” to fund general operations and to secure notes and bonds of the Authority. MNEA would be prohibited from operating an "alternative energy technology business" or otherwise engaging in the manufacturing of any commercial products. It would also be prohibited from acquiring real property outside the zone. The MNEA chief executive officer and chief financial officer would have to be residents of Michigan.
  Who Voted "Yes" and Who Voted "No"
• Received in the Senate on June 27, 2002, to create a “Michigan Next Energy Authority” (MNEA) with broad authority to subsidize alternative energy technology projects using various state resources. MNEA would oversee an alternative energy renaissance zone; manage and develop a master plan for the alternative energy zone; finance and aid in the construction of alternative energy technology businesses and infrastructures located within the zones; acquire, construct, and improve an alternative energy technology project, including land, buildings, equipment, and various types of facilities for alternative energy technology; issue bonds and notes; and enter into an interlocal agreement with a university, agency, or local government to accomplish the above. MNEA would be responsible for granting to selected persons various personal property tax and Single Business Tax exemptions created by the companion bills. Any state school tax exemptions would have to be repaid to the school aid fund from the state general fund (funded by other state tax revenues). The bill would transfer to MNEA 724 acres of state land in York Township (Washtenaw County), and allow it to convey, sell, lease, or otherwise dispose of its real or personal property in the zone to any public or private person for public purposes. Finally, the bill would create a "Michigan Alternative Energy Technology Fund” to fund general operations and to secure notes and bonds of the Authority. MNEA would be prohibited from operating an "alternative energy technology business" or otherwise engaging in the manufacturing of any commercial products. It would also be prohibited from acquiring real property outside the zone. The MNEA chief executive officer and chief financial officer would have to be residents of Michigan.
  • Amendment offered in the Senate on July 9, 2002, to strike out language requiring the state to reimburse from the state general fund (funded by other state tax revenues), to the state school aid fund and to a local school district, the amount of any school taxes not paid due to exemptions granted to a firm located in the proposed an alternative energy renaissance zone. This provision has been added to House Bill 5896. The amendment passed by voice vote in the Senate on July 9, 2002.
  • Amendment offered by Sen. Joanne Emmons (R) on July 9, 2002, to clarify that the alternative energy tax exemptions apply only to new systems or operations. The amendment passed by voice vote in the Senate on July 9, 2002.
• Passed 33 to 0 in the Senate on July 9, 2002, to concur with the House-passed version of the bill, amended to clarify that the alternative energy tax exemptions apply only to new systems or operations.
  Who Voted "Yes" and Who Voted "No"
• Received in the Senate on September 19, 2002.
  • Substitute offered by Sen. Joanne Emmons (R) on September 19, 2002, to replace the previous version of the bill with one which further limits the powers of the “Michigan Next Energy Authority” (MNEA), and essentially makes it an arm of the existing Michigan Economic Growth Authority (MEGA), which would make decisions on where to locate the alternative energy renaissance zone. Provisions transferring 724 acres of state-owned land located in York Township (Washtenaw County) are removed, because local municipalities were unable to provide water to the site. Instead, the Michigan Economic Development Corporation, which is the parent organization of MEGA, has announced that the new site will be in downtown Detroit near Wayne State University. The substitute passed by voice vote in the Senate on September 19, 2002.
• Passed 34 to 1 in the Senate on September 19, 2002, to adopt a new version of the bill which further limits the powers of the “Michigan Next Energy Authority” (MNEA), and essentially makes it an arm of the existing Michigan Economic Growth Authority (MEGA), which would make decisions on where to locate the alternative energy renaissance zone. Provisions transferring 724 acres of state-owned land located in York Township (Washtenaw County) are removed, because local municipalities were unable to provide water to the site. Instead, the Michigan Economic Development Corporation, which is the parent organization of MEGA, has announced that the new site will be in downtown Detroit near Wayne State University.
  Who Voted "Yes" and Who Voted "No"
• Received in the House on September 24, 2002.
• Passed 91 to 13 in the House on September 24, 2002, to concur with the Senate-passed version of the bill, which replaces the previous version with one that further limits the powers of the “Michigan Next Energy Authority” (MNEA), and essentially makes it an arm of the existing Michigan Economic Growth Authority (MEGA), which would make decisions on where to locate the alternative energy renaissance zone. Provisions in the package transferring 724 acres of state-owned land located in York Township (Washtenaw County) are removed, because local municipalities were unable to provide water to the site. Instead, the Michigan Economic Development Corporation, which is the parent organization of MEGA, has announced that the new site will be in downtown Detroit near Wayne State University.
  Who Voted "Yes" and Who Voted "No"
• Signed by Gov. John Engler on October 17, 2002.