Local government: bonds; certain loans; exempt from definition of municipal security under the revised municipal finance act. Amends sec. 105 of 2001 PA 34 (MCL 141.2105).
Key claim: HB5965 would exempt certain loans from the definition of municipal security under Michigan’s Revised Municipal Finance Act.
Abstract
(HB5965 · 103rd Legislature) Local government: bonds; certain loans; exempt from definition of municipal security under the revised municipal finance act. Amends sec. 105 of 2001 PA 34 (MCL 141.2105). Sponsor: Rep. Mike Mueller ® In committee: H Appropriations Latest action (2026-05-14): Bill Electronically Reproduced 05/13/2026
Why this matters
The Revised Municipal Finance Act governs how Michigan local governments issue debt, and its ‘municipal security’ definition determines which borrowings trigger state oversight, disclosure, and issuance requirements. Exempting certain loans narrows the perimeter of regulated municipal debt, potentially reducing compliance burdens for local units while also shifting what transactions are subject to state Treasury review.