House bills would allow Standish to refinance bonds
Updated March 16, 2010 at 3:19 p.m.
STANDISH —House bills 5550-5554, which would allow communities to refinance debt, passed in the Michigan House of Representatives Tuesday, March 16, and they will now go to the Senate.
The bills, sponsored by state representatives Jeff Mayes (D-Bay City) and Tim Moore (R-Farwell), is part of a bipartisan five-bill package that will allow municipalities to restructure their debt by extending the repayment period.
The bills were introduced to the Banking and Financial Services Committee Oct. 27, 2009, and the City of Standish released a statement March 10 in support of the bills.
Members of the city council, along with other municipal officials, testified Jan. 21, 2010, in support of the bills.
Mayes said that all of the bills would help communities that have experienced a great loss in property value or other sources of income. In Standish’s case, it is the closing of Standish Max that created a loss of income from sewer and water rates.
“It allows communities to refinance debt,” Mayes said.
"This plan will not only help Standish, it will help countless other municipalities across the state that are going through similar problems," said Standish City Manager Mike Moran.
The bills are going to the Senate, which will read them on March 17 and refer them to a committee for review.
"We're hoping for a positive response from the Senate," Mayes said.
Keep checking back for more updates to this story.