CEDAM - Community Economic Development Association of Michigan

Public Policy & Legislation

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State Public Policy Bill Tracking

Michigan's Housing and Community Development Fund (MHCDF)

Bill/Issue

Short Summary

Status

Resources

Michigan's Housing and Community Development Fund (MHCDF)

MHCDF is a program that will allow Michigan cities and communities to compete for, attract and retain the brightest and best workers in the country. The program concentrates efforts in downtowns, neighborhoods, and affordable and supportive housing.

The legislation establishing the MHCDF was passed in 2004. In the 2008 budget, it was funded for the first time.

As a member of the Living in Michigan Coalition, CEDAM will advocate for continued funding.

Living In Michigan

NOFA and Allocation Plan

MHCDF Revision

Senator Jansen

Representative Tobocman

Expands eligible uses of the fund to projects in downtown areas and adjacent neighborhoods, foreclosure prevention and assistance, assistance with individual development accounts (IDAs), activities related to combating homelessness, technical assistance to certain entities, and predatory lending prevention and relief. It also adds an advisory commitee to assist the Michigan State Housing Development Authority (MSHDA) in allocating the funds.

Passed and sent to Governor for signature.

SB 1243

HB 4658

Foreclosure and Predatory Lending

Bill/Issue	Short Summary	Status	Resources
Michigan Home Loan Protection Act House Democrats	Will protect homeowners, provide consumers with a private right of action, and prohibit particularly abusive and predatory lending practices that often lead to foreclosure.	5294-5297, 5299-5303, 5307-5308 Passed House 6/18/08 Referred to Senate Committee on Banking and Financial Institutions	CEDAM Summary HB 5294-5310 Press Release Newspaper Clippings
MSHDA Save the Dream Refinance Programs	Will assist Michigan homeowners facing mortgage foreclosure by offering two new refinancing options: 1) ARM Refinance and 2) Rescue Refinance for those who are delinquent on their mortgage. Both refinance into a 30-year, 6.25% loan.	Signed into law 4/3/08 - PA 53-56 of 2008	HB 5443-5447 Legislative Analysis SB 948-952 Save the Dream at MSHDA
Homeownership Preservation Fund Representative Scott	Will create the Michigan Homeownership Preservation Fund to be financed with civil fines. Funds can be used for: financing financial literacy programs, homeownership training, and homeownership protection training; providing down payment assistance to homebuyers; providing loans and grants to low income individuals to avoid foreclosure.	Referred to House Committee on Banking and Financial Services 10/26/2007	HB 5376
Homeowner Relief Package House Republicans	Will lower property taxes, keep at-risk homeowners in their homes, stabilize the real estate market and preserve home values, and stop predatory lending.	HB 5641-5645 Referred to House Committee on Intergovernmental, Urban and Regional Affairs 1/22/08 HB 5646-5647 Referred to House Committee on Tax Policy 1/22/08	Press Release Press Conference HB 5641 - 5647
Regulating Refund Anticipation Loans (RALs) Representative Tobocman Senator Thomas	Will require all tax preparers who provide RALs to reveal the following: all interest, fees, and hidden costs associated with RALs; the RAL is a loan NOT a refund; taxpayer can file electronically; how long the refund would take if it was issued by the government; no guarantee that athe refund will equal what is on the tax form; and, taxpayer is responsible for the difference if the tax form is incorrect	HB 4645 Passed House 2/12/08 and referred to Senate Committee on Banking and Financial Institutions 2/14/08 SB 446 Referred to Senate Committee on Banking and Financial Institutions 4/25/07	HB 4645 Press Release Legislative Analysis SB 446
2-Year Foreclosure Moratorium Senators Gleason, Clarke, and Olshove	Courts can turn foreclosure by advertisement into judicial foreclosure and order a two-year stay. MSHDA can guarantee lenders or provide loans to borrowers. Courts can order a two year stay of property tax foreclosures.	Referred to Senate Committee on Banking and Financial Institutions 5/7/08	SB 1305 - 1307

Vacant Property

Bill/Issue

Short Summary

Status

Resources

Commercial Redevelopment

Representative Mayes

Will expand commercial redevelopment to include certain vacant or blighted properties.

Signed into law 4/29/08 - PA 118 of 2008

HB 5459

Legislative Analysis

Commercial Rehabilitation Act

Representative Johnson

Provides for tax abatement for certain vacant land developed into commercial property.

Referred to House Committee on Commerce 6/19/08

HB 6272

Property Taxes

Bill/Issue	Short Summary	Status	Resources
Supportive Housing Property Specific Tax Act Representative Tobocman	Will remove existing taxation of specific supportive housing properties owned by nonprofits and create a new tax.	Referred to House Committee on Intergovernmental, Urban and Regional Affairs 11/08/2007	Join CEDAM Workgroup HB 5437-5439
Michigan Taxpayer Home Protection Act House Democrats	Property tax exemptions for homeowners suffering hardship, among other property tax issues.	Referred to House Committee on Intergovernmental, Urban and Regional Affairs 5/19/08	HB 6162 - 6171 Legislative Analysis
New Home Property Tax Assessment Representative Moolenaar	Delays property tax assessment of new homes until the home is occupied.	Referred to House Committee on Tax Policy 2/26/08	HB 5801
Senior Housing Rehabilitation Tax Exemption Representative Moolenaar	Provides for a tax exemption for senior housing when the property is rehabilitated by a limited dividend housing corporation.	Referred to House Committee on Tax Policy 6/28/08	HB 6283
Property Tax Assessment of Certain Nonprofit Housing Property Senator Jelinek	The purchase price paid in a transfer of an eligible nonprofit housing property from a charitable nonprofit housing organization to a low income person is the presumptive true cash value of the eligible nonprofit housing property transferred. The true cash value is used to assess the property tax.	Referred to the Senate Committee on Economic Development and Regulatory Reform 6/26/08	SB 1416

Funding

Bill/Issue

Short Summary

Status

Resources

Homeownership Preservation Fund

Representative Scott

Will create the Michigan Homeownership Preservation Fund to be financed with civil fines. Funds can be used for: financing financial literacy programs, homeownership training, and homeownership protection training; providing down payment assistance to homebuyers; providing loans and grants to low income individuals to avoid foreclosure.

Referred to House Committee on Banking and Financial Services 10/26/2007

HB 5376

Asset Building

Bill/Issue	Short Summary	Status	Resources
State EITC Freeze Senators Cassis, Allen, and Jelinek	The bill proposes to delay the enactment of the Michigan EITC, which is scheduled to take effect in the filing season for Tax Year 2008, until the state's reserve fund reaches $250 million.	Referred to Senate Committee on Finance 07/26/2007	CEDAM's Letters rejecting SB 662 Template Letter to Contact Legislators SB 662 Senator Cassis Press Release Rescinding Position on SB 662
Low Income Energy Efficiency Account Program Act Senator Jansen	Will create and IDA program for low-income families to make energy efficient purchases for their homes.	Referred to Senate Committee on Energy Policy and Public Utilities 1/22/08	SB 1046 Legislative Analysis Related bill SB 1047
MBT Credit for IDA Contributions Representative Bieda	Allows MBT credit for contributions to IDAs/FDAs	Passed House 2/28/08 and referred to Senate Committee on Finance 3/4/08	HB 5723
Basic Finance High School Elective Course Senator Garcia	Requires the Michigan Virtual University to develop a high school basic finance course as a for-credit elective at all public high schools.	Referred to Senate Committee on Education 1/30/07	SB 101
Financial Literacy Course Under High School Math Senator Switalski	Will add financial literacy to the list of math courses to satisfy the four credit requirement under the Michigan Merit Standard.	Passed Senate 5/13/08 and referred to House Committee on Education 5/13/08	SB 834 Legislative Analysis
Promise Zones Representative Melton Senator Van Woerkom	Creates the Michigan Promise Zone Act to allow communities with areas of high poverty to create promise zone authorities to ensure financial assistance for postsecondary education to high school graduates who both live and attend school within the zone's boundaries.	HB 5375 passed House 12/12/07 and referred to Senate Committee on Education 1/9/08 SB 861 referred to Senate Committee on Education 10/29/07	HB 5375 Legislative Analysis SB 861
529 Bankruptcy Protections Senator Anderson	Exempts college savings plans from enforcement of court judgments and bankruptcy proceedings.	Referred to Senate Committee on Judiciary 3/11/08	SB 1200

Rural

Bill/Issue	Short Summary	Status	Resources

Neighborhood & Downtown Revitalization

Bill/Issue

Short Summary

Status

Resources

Downtown Development

Senator Allen

Aims to reinvigorate downtowns and will revamp renaissance zones, Downtown Development Authorities (DDA), the Michigan Economic Growth Authority (MEGA) Acts, and more.

SB 970, 972, 974, 975, 976, 978, 980 Passed and awaiting the Governor's signature 6/27/08

SB 970-980

SB 970, 972, 974, 975, 976 Legislative Analysis

SB 978 Legislative Analysis

SB 980 Legislative Analysis

Grocery Store Tax Credit

Senator Jansen

The bill adds Qualified Retail Food Establishments (i.e., grocery stores) to be included as a Commercial Rehabilitation District to receive property tax abatements.

Passed and awaiting Governor's signature 6/27/08

SB 294
Legislative Analysis

Cultural Redevelopment District Authority Act

Representatives Tobocman, Mayes, Clemente, and Huizenga

Creates a Cultural Redevelopment District Authority to provide income tax, sales tax, and MBT incentives to artists and those who support them in these districts.

Referred to House Committee on New Economy and Quality of Life 4/8/08

HB 5947 - 5950 Legislative Analysis

Housing

Bill/Issue	Short Summary	Status	Resources
MBT Fix for Affordable Housing Representative Tobocman Senator Jansen	Restores deductions for housing units created/operated as affordable housing	Signed into law 6/30/08 - PA 168 (HB 5893)	HB 5893 Legislative Analysis SB 1284 Legislative Analysis
Housing Inspections Senator Garcia	Will allow for a maximum period of six years between inspections, delete provisions requiring local inspections at least every two years, or as provided by ordinance, every three years if no violation was found at the most recent inspection, allow inspections from HUD and other government agencies to be substituted for local inspections, requires reporting from local inspection agencies on the actual costs of inspections and fees collected	Passed Senate 6/25/08 and referred to House Committee on Intergovernmental, Urban and Regional Affairs	SB 635 Legislative Analysis
Energy Efficiency Tax Credit Representative Constan	Will provide tax credits for landlords who upgrade energy efficiency of residential rental property	Referred to House Energy and Technology 10/25/07	HB 5374
Energy Efficiency Tax Credit Representative Bieda	Provides a tax incentive for construction of energy efficient commercial or industrial property. A taxpayer who constructs or renovates an industrial or commercial green building may claim a credit against their MBT liability equal to $10,000 per building or an amount equal to the cost of LEED certification, whichever is greater, but not to exceed $22,500 per building.	Reported out of the House Committee on Tax Policy 6/25/08 and referred to a second reading before the House 6/25/08	HB 6178
Copper Theft Senators Thomas, Brown, and Sanborn Representative Meisner Representative Brown Representatives Johnson, Melton, and Moss Representative Saks	Several different bill packages designed to address the copper theft issue. Bills provide licensing and reporting requirements, impose certain regulations and penalties on purchasers, etc.	Please see individual bills in the Resource section	SB 720, 1114, 1358 Legislative Analysis HB 6181 Legislative Analysis HB 5694 Legislative Analysis HB 5335, 5336, 5361, 5362 Legislative Analysis HB 6003 Legislative Analysis

National Public Policy Bill Tracking

Housing & Community Development

Bill/Issue	Short Summary	Resources
National Housing Trust Fund	Will establish a dedicated funding source for the production, preservation, and rehabilitation of 1.5 million affordable homes in 10 years.	Letter to Senator Levin Sent by CEDAM Letter to Senator Stabenow Sent by CEDAM Template Letter H.R. 2895 S. 2523
CDC Operating Support	The Community Economic Development Expertise Enhancement Act of 2007 (H.R. 4328) will provide $75 million annually through FY 2010 to improve the operations of community development corporations (CDCs). Note: Bill was reintroduced	H.R. 4328
Neighborhood Reclamation and Revitalization Act of 2007	Address the vacant housing problem by dedicating federal funds and helping communities develop innovative methods to re-use vacant properties.	H.R. 3498 S. 2054
Housing and Economic Recovery Act of 2008 Representative Pelosi	A bill to provide needed housing reform and for other purposes. Includes GSE reform, foreclosure prevention, and more.	H.R. 3221
FHA Housing Stabilization and Homeownership Retention Act of 2008 Representative Frank	Creates the Refinance Program Oversight Board, which will be charged with establishing program and oversight requirements for the programs established under the National Housing Act. Creates a voluntary FHA program that provides mortgage refinancing assistance to allow families to stay in their homes, protect neighborhoods, and help stabilize the market.	H.R. 5830

Asset Building

Bill/Issue

Short Summary

Resources

Savings for Working
Families Act

SWFA is a tax-credit bill that will enable low-income families to have their savings matched $1:$1 through Individual Development Accounts (IDAs) to purchase a first home, pay for college, or start a small business.

H.R. 1514

S. 871

ASPIRE Act

It will create KIDS Accounts for every child at birth and allow the savings to be used later to pay for college, retirement, or buying a home. It also includes a match for low- and moderate-income families.

H.R. 3740

Foreclosure and Predatory Lending

Bill/Issue	Short Summary	Resources
Foreclosure Rescue Fraud Act of 2008 Senator Kohl	Will protect the property and security of homeowners who are subject to foreclosure proceedings.	S. 2888
Neighborhood Rescue and Stabilization Act of 2008 Representative Waters	Authorizes for FY2008 appropriations for assistance to states and local governmental units for the redevelopment of abandoned and foreclosed homes.	H.R. 5678
Neighborhood Stabilization Act of 2008 Representative Waters	To authorize HUD to make loans to states to aquire foreclosed housing and to make grants to states for related costs.	H.R. 5818
Foreclosure Prevention and Sound Mortgage Servicing Representative Waters	Amends RESPA to impose on a mortgagee a duty to engage in loss mitigation of covered federally related mortgage loans.	H.R. 5679
Housing and Economic Recovery Act of 2008 Representative Pelosi	A bill to provide needed housing reform and for other purposes. Includes GSE reform, foreclosure prevention, and more.	H.R. 3221

Financial Oversight

Bill/Issue

Short Summary

Resources

Mortgage Reform and
Anti-Predatory Lending
Act of 2007

Will reform mortgage practices in three areas.

First, the bill will establish a federal duty of care, prohibit steering, and call for licensing and registration of mortgage originators, including brokers and bank loan officers.

Second, the new legislation will set a minimum standard for all mortgages which states that borrowers must have a reasonable ability to repay. Third, the legislation attaches limited liability to secondary market securitizers who package and sell interest in home mortgage loans outside of these standards. However, individual investors in these securities would not be liable.

Finally, the bill expands and enhances consumer protections for “high-cost loans” under the Home Ownership and Equity Protection Act and includes important protections for renters of foreclosed homes.

H.R. 3915

FHA Housing Stabilization and Homeownership Retention Act of 2008

Representative Frank

Creates the Refinance Program Oversight Board, which will be charged with establishing program and oversight requirements for the programs established under the National Housing Act. Creates a voluntary FHA program that provides mortgage refinancing assistance to allow families to stay in their homes, protect neighborhoods, and help stabilize the market.

H.R. 5830

Public Policy & Legislation Home Page

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