The bill amends the Recodified Tax Increment Financing Act (2018 PA 57) by updating definitions and provisions related to tax increment financing, particularly focusing on alternative energy and technology development. Key insertions include the definitions of "advance," which refers to funds transferred by a municipality to an authority with the expectation of repayment, and "alternative energy technology," which encompasses equipment and systems for clean fuel generation. The bill clarifies "eligible property" to include high-technology activities and alternative energy technology businesses, while removing the term "high technology" from the previous definition. New terms such as "certified alternative energy park" and "next Michigan development area" are introduced, along with criteria for "business incubators" and requirements for "public facilities" that can be financed through tax increment revenues.

Additionally, the bill proposes amendments to the laws governing certified technology parks, emphasizing collaboration with educational institutions and private research entities. It outlines requirements for the development of these parks, including the existence of a business incubator and a comprehensive business plan. Significant changes include extended periods of tax capture under certain conditions, clarification of "specific local taxes" and "transit-oriented development," and the establishment of a competitive application process for designating geographic areas as certified technology parks. The bill aims to enhance economic development potential while ensuring accountability and collaboration among stakeholders, with specific provisions regarding financial commitments and enforcement terms in agreements governing these parks.

Statutes affected:
House Introduced Bill: 125.4402