Bill Text: MI HB5791 | 2019-2020 | 100th Legislature | Introduced


Bill Title: Appropriations; supplemental; small business relief program; provide for. Creates appropriation act.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2020-05-21 - Bill Electronically Reproduced 05/20/2020 [HB5791 Detail]

Download: Michigan-2019-HB5791-Introduced.html

 

 

 

 

 

 

 

 

 

 

HOUSE BILL NO. 5791

May 20, 2020, Introduced by Rep. Brann and referred to the Committee on Appropriations.

A bill to make, supplement, and adjust appropriations for various state departments and agencies for the fiscal year ending September 30, 2020; and to provide for the expenditure of the appropriations.

the people of the state of michigan enact:


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part 1

line-item appropriations

Sec. 101. There is appropriated for various state departments and agencies to supplement appropriations for the fiscal year ending September 30, 2020, from the following funds:


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APPROPRIATION SUMMARY

 

 

GROSS APPROPRIATION.....................................

$

31,000,000

Interdepartmental grant revenues:

 

 

Total interdepartmental grants and intradepartmental

 

 

transfers..............................................

 

0

ADJUSTED GROSS APPROPRIATION............................

$

31,000,000

Federal revenues:

 

 

Total federal revenues..................................

 

0

Special revenue funds:

 

 

Total local revenues....................................

 

0

Total private revenues..................................

 

0

Total other state restricted revenues...................

 

31,000,000

State general fund/general purpose......................

$

0

Sec. 102. DEPARTMENT OF LABOR AND ECONOMIC OPPORTUNITY

 

 

(1) APPROPRIATION SUMMARY

 

 

GROSS APPROPRIATION.....................................

$

31,000,000

Interdepartmental grant revenues:

 

 

Total interdepartmental grants and intradepartmental

 

 

transfers..............................................

 

0

ADJUSTED GROSS APPROPRIATION............................

$

31,000,000

Federal revenues:

 

 

Total federal revenues..................................

 

0

Special revenue funds:

 

 

Total local revenues....................................

 

0

Total private revenues..................................

 

0

Total other state restricted revenues...................

 

31,000,000

State general fund/general purpose......................

$

0

(2) MICHIGAN STRATEGIC FUND

 

 

Business attraction and community revitalization........

$

(19,000,000)


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Small business relief grant program.....................

 

50,000,000

GROSS APPROPRIATION.....................................

$

31,000,000

Appropriated from:

 

 

Special revenue funds:

 

 

21st century jobs trust fund............................

 

31,000,000

State general fund/general purpose......................

$

0

 

part 2

provisions concerning appropriations

general sections

Sec. 201. In accordance with section 30 of article IX of the state constitution of 1963, total state spending from state sources in this appropriation act for the fiscal year ending September 30, 2020 is $31,000,000.00 and state spending from state sources to be paid to local units of government is $0.00.

Sec. 202. The appropriations authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

DEPARTMENT OF LABOR AND ECONOMIC OPPORTUNITY

Sec. 301. (1) From the funds appropriated in part 1 for the small business relief grant program, the Michigan strategic fund shall create and operate a small business relief grant program to provide small business relief grants to eligible businesses in this state. The fund, in consultation with local economic development organizations, must provide grants to eligible businesses that have realized a significant financial hardship as a result of the COVID-19 emergency.

(2) Grants made available to eligible businesses under the program must meet all of the following conditions:


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(a) Must only be made available to eligible businesses that have 50 or fewer employees.

(b) Must not exceed $10,000.00.

(c) Must only be used for working capital to support payroll expenses, rent, mortgage payments, utility expenses, or similar expenses that occur in the ordinary course of business.

(d) Must not be provided to an eligible business that previously received a grant.

(3) The Michigan strategic fund must develop and post on the Michigan strategic fund website application, program operation, award, and reporting criteria for the program.

(4) The Michigan strategic fund shall provide a monthly report to the senate and house fiscal agencies and the state budget office that provides a listing of grants awarded in the previous month and the name of the recipient of each grant provided under the program. The Michigan strategic fund shall provide a summary of all grants awarded under the program over the course of the current fiscal year by September 30, 2020.

(5) As used in this section:

(a) "Eligible business" means a business that meets all of the following:

(i) Is in an industry outlined in Executive Order No. 2020-9, or any subsequent Executive Order of similar intent, provides services to companies outlined in that Executive Order, or demonstrates it is otherwise affected by the COVID-19 emergency.

(ii) Needs working capital to support payroll expenses, rent, mortgage payments, utility expenses, or other similar expenses that occur in the ordinary course of business.

(iii) Demonstrates an income loss as a result of an emergency as


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determined by the Michigan strategic fund.

(b) "Small business relief grant" or "grant" means a small business relief grant made to an eligible business under this section.

(6) The funds appropriated in part 1 for the small business relief grant program are considered work project appropriations, and any unencumbered or unallotted funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the project is to provide relief grants to small businesses affected by COVID-19.

(b) All grants will be distributed in accordance with this section and the grant guidelines published by the Michigan strategic fund.

(c) The estimated cost of the project is $50,000,000.00.

(d) The tentative completion date for the work project is September 30, 2021.

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