Individual income tax: revenue distributions; distribution and use of renew Michigan fund and lapse of interest and earnings from the revitalization and placemaking fund to general fund; modify and provide for. Amends secs. 51, 51g & 696 of 1967 PA 281 (MCL 206.51 et seq.). TIE BAR WITH: HB 4180’25, HB 4181’25, HB 4182’25, HB 4183’25, HB 4184’25, HB 4185’25, HB 4186’25
Key claim: Michigan will change how income-tax dollars are allocated to the Renew Michigan Fund and will send leftover interest from the revitalization and placemaking fund into the state’s main budget instead of keeping it in that fund.
Abstract
(HB4187 · 103rd Legislature) Individual income tax: revenue distributions; distribution and use of renew Michigan fund and lapse of interest and earnings from the revitalization and placemaking fund to general fund; modify and provide for. Amends secs. 51, 51g & 696 of 1967 PA 281 (MCL 206.51 et seq.). TIE BAR WITH: HB 4180’25, HB 4181’25, HB 4182’25, HB 4183’25, HB 4184’25, HB 4185’25, HB 4186’25 Sponsor: Rep. Pat Outman ® + 28 co-sponsors Latest vote: House Third Reading: Roll Call #329 — 105-0 (passed, 2026-07-03) Latest action (2026-07-29): Assigned Pa 82’26 With Immediate Effect
Why this matters
The change reduces the Revitalization and Placemaking Fund’s ability to compound its own interest, sending those dollars into general state spending and modestly narrowing a placemaking/economic-development revenue stream that supports downtown and community projects. It also adjusts the income-tax earmark feeding the Renew Michigan environmental fund, meaning taxpayer dollars flow to different priorities within the tie-barred tax package. For developers, local governments, and grant applicants, the pool of dedicated placemaking money may be smaller than under prior law.