The bill amends the Recreational Authorities Act in Michigan to enhance the governance and operational framework of recreational authorities. Key updates include a redefined establishment process that allows one or more municipalities or districts to initiate the formation of an authority. The articles of incorporation must now detail the authority's name, participating municipalities, and its purposes, which explicitly include the acquisition and management of public forests and natural resources areas. The bill also clarifies voting requirements for adopting and amending articles, as well as the procedures for municipalities to join or withdraw from an authority. Additionally, it grants authorities the ability to levy a tax for up to 20 years, contingent upon voter approval, with proceeds designated for public recreational purposes.

Further amendments focus on the financial operations of recreational authorities, stipulating that tax proposals must be adopted by a board resolution and certified to the county clerk at least 60 days before an election. The bill emphasizes the mandatory nature of these requirements by changing "shall" to "must" in several instances. It restricts the use of tax proceeds to designated purposes, prohibits allocation for general fund or school operating purposes (with some exceptions), and allows authorities to borrow money and issue bonds for public facilities. The total debt is capped at 2 mills of the taxable value within the district, and any tax levied to pay bond obligations cannot exceed five years without voter approval. All bonds or notes issued are considered debts of the authority, not the participating municipalities, and the bill is contingent upon related legislation from the 103rd Legislature.

Statutes affected:
Substitute (H-1): 123.1135
House Introduced Bill: 123.1135
As Passed by the House: 123.1135