Section 21.141 - Loan to eligible municipality; approval; compliance; warrant; limitation on total amount of loans; definition. - Michigan Statutes

SURPLUS FUNDS IN TREASURY (EXCERPT)
Act 105 of 1855

21.141 Loan to eligible municipality; approval; compliance; warrant; limitation on total amount of loans; definition.

Sec. 1.

(1) The state treasurer shall make a loan from surplus funds to an eligible municipality, as municipality is defined in section 1 of the emergency municipal loan act, Act No. 243 of the Public Acts of 1980, being section 141.931 of the Michigan Compiled Laws, if the loan is approved pursuant to the emergency municipal loan act, Act No. 243 of the Public Acts of 1980, being sections 141.931 to 141.942 of the Michigan Compiled Laws.

(2) A loan made under subsection (1) shall comply with the requirements of the emergency municipal loan act, Act No. 243 of the Public Acts of 1980, with respect to the terms, conditions, rate of interest, and amount of the loan.

(3) Upon approval of a loan by the board and execution of a note of indebtedness to the state by an authorized representative of the municipality, the state treasurer shall issue a warrant to the municipality in an amount equal to the amount of the loan.

(4) The total amount of loans made from surplus funds pursuant to this section in any 1 fiscal year shall not exceed $5,000,000.00 plus the amount of any loans authorized by section 3(2) of the emergency municipal loan act, Act No. 243 of the Public Acts of 1980, being section 141.933 of the Michigan Compiled Laws.

(5) As used in this section, “board” means the local emergency financial assistance loan board created pursuant to the emergency municipal loan act, Act No. 243 of the Public Acts of 1980.

History: Add. 1980, Act 323, Imd. Eff. Dec. 15, 1980 ;-- Am. 1987, Act 284, Eff. Apr. 11, 1988