The bill amends the existing law that authorizes local units of government in Michigan to accept payments via financial transaction devices. It introduces new definitions and clarifications regarding what constitutes a "credit card" and expands the types of entities that can issue credit cards. Specifically, it includes persons licensed under the consumer financial services act and depository financial institutions, with specific provisions for the transitional period following the enactment of the residential mortgage licensing and supervision act.

Additionally, the bill updates the definition of "governing body" to encompass a broader range of local government entities, including various boards of education and community college districts. It also clarifies the term "local unit" to include various forms of local government and authorities. The enactment of this bill is contingent upon the passage of House Bill No. 6177.

Statutes affected:
House Introduced Bill: 129.221