Michigan 2025-2026 Regular Session

Michigan Senate Bill SB0278

Introduced
5/1/25  

Caption

Housing: other; housing and community development fund; modify. Amends secs. 58, 58b & 58c of 1966 PA 346 (MCL 125.1458 et seq.).

Impact

The amendments target a more systematic approach to funding allocations for housing projects. Specifically, the bill stipulates that not less than 25% of the funds must be dedicated to projects that do not qualify under special population preferences, ensuring a broader distribution of resources. Moreover, at least 30% of the fund is earmarked for projects that specifically target extremely low income households, including a variety of housing options such as supportive housing and transitional housing. This could significantly improve the housing situation for vulnerable populations throughout Michigan.

Summary

Senate Bill 0278 proposes amendments to the State Housing Development Authority Act of 1966, focusing on expanding the Michigan Housing and Community Development Program. The bill aims to enhance the allocation and use of funds designated for housing projects, particularly aimed at assisting low income, very low income, and extremely low income households. By modifying Section 58, 58b, and 58c, the bill introduces clearer definitions of eligible applicants, including for-profit and non-profit corporations, municipalities, and partnerships focused on affordable housing initiatives in downtown areas and adjacent neighborhoods.

Contention

While proponents argue that the bill is necessary for addressing the state's affordable housing crisis, opponents may raise concerns regarding the potential sufficiency and management of the allocated funds. Questions arise regarding whether the stipulated percentages truly meet the needs of the communities they aim to serve, particularly as housing markets and demographic needs evolve. Additionally, there could be fears about bureaucracy in fund allocation and the actual implementation of the plans detailed in the biennial allocation strategy proposed within the bill.

Companion Bills

No companion bills found.

Previously Filed As

MI HB4539

Housing: other; housing and community development fund; modify. Amends secs. 58 & 58b of 1966 PA 346 (MCL 125.1458 & 125.1458b). TIE BAR WITH: HB 4540'25

MI HB4540

Housing: other; housing and community development fund; modify. Amends sec. 58c of 1966 PA 346 (MCL 125.1458c). TIE BAR WITH: HB 4539'25

MI HB5805

Housing: housing development authority; housing opportunity tax credit program; establish and administer. Amends sec. 22 of 1966 PA 346 (MCL 125.1422) & adds sec. 22e. TIE BAR WITH: HB 5806'26, HB 5807'26

MI SB0923

Housing: housing development authority; eligibility for credits under the community development tax credit program; coordinate with Michigan strategic fund. Amends sec. 22 of 1966 PA 346 (MCL 125.1422) & adds sec. 22e. TIE BAR WITH: SB 0925'26

MI HB5806

Individual income tax: credit; housing opportunity tax credits; create. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding secs. 279, 679 & 821. TIE BAR WITH: HB 5805'26, HB 5807'26

MI HB5809

Housing: housing development authority; eligibility for credits under the community development tax credit program; coordinate with Michigan strategic fund. Amends sec. 22 of 1966 PA 346 (MCL 125.1422) & adds sec. 22e. TIE BAR WITH: HB 5798'26, HB 5799'26

MI HB5045

Housing: other; redemption of premises; modify. Amends secs. 48g & 48i of 1966 PA 346 (MCL 125.1448g & 125.1448i).

MI HB5798

Individual income tax: credit; community development tax credit; create. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding secs. 279 & 678. TIE BAR WITH: HB 5799'26, HB 5809'26

MI HB5807

Insurance: other; housing opportunity credits against the retaliatory tax; provide for. Amends secs. 476a & 476b of 1956 PA 218 (MCL 500.476a & 500.476b). TIE BAR WITH: HB 5805'26, HB 5806'26

MI HB5073

Economic development: brownfield redevelopment authority; definitions of housing property and tax capture revenues and cap on total tax capture revenues; clarify definitions and modify cap. Amends secs. 2, 14a & 16 of 1996 PA 381 (MCL 125.2652 et seq.).

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