The bill amends the Michigan Strategic Fund Act to enhance the governance and operational authority of the Michigan Strategic Fund. Key updates include a clearer definition of "economic development project," which now encompasses a wider range of facilities and activities, such as theme parks and renewable energy projects. The bill also introduces a new section detailing the role of the Michigan Economic Development Corporation (MEDC) and specifies the composition and appointment process for the fund's board of directors, ensuring representation from diverse sectors, including minority and female business owners. Additionally, it mandates the governor to appoint two new private sector board members by December 31, 2023, who will serve four-year terms without compensation, although they may be reimbursed for travel expenses.

Significantly, the bill restricts the fund from delegating any powers to the MEDC and prohibits financing projects that receive MEDC support. It requires the fund to withdraw from interlocal agreements with the MEDC and transfers all powers and responsibilities from the MEDC to the fund. The bill also repeals Section 29e of the Michigan Strategic Fund Act, consolidating authority and streamlining operations under the fund's governance. Overall, these amendments aim to improve the effectiveness of the Michigan Strategic Fund in promoting economic development while addressing the needs of various stakeholders in the state.

Statutes affected:
House Introduced Bill: 125.2004, 125.2029