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Bill > HB4381
MI HB4381
MI HB4381Public utilities: other; use of revenues as donation to a 501(c)(4) that engages in campaign or lobbying activities; prohibit. Amends 1939 PA 3 (MCL 460.1 - 460.11) by adding sec. 6bb. TIE BAR WITH: HB 4381'25
summary
Introduced
04/23/2025
04/23/2025
In Committee
04/23/2025
04/23/2025
Crossed Over
Passed
Dead
Introduced Session
103rd Legislature
Bill Summary
A bill to amend 1939 PA 3, entitled"An act to provide for the regulation and control of public and certain private utilities and other services affected with a public interest within this state; to provide for alternative energy suppliers and certain providers of electric vehicle charging services; to provide for licensing; to include municipally owned utilities and other providers of energy under certain provisions of this act; to create a public service commission and to prescribe and define its powers and duties; to abolish the Michigan public utilities commission and to confer the powers and duties vested by law on the public service commission; to provide for the powers and duties of certain state governmental officers and entities; to provide for the continuance, transfer, and completion of certain matters and proceedings; to abolish automatic adjustment clauses; to prohibit certain rate increases without notice and hearing; to qualify residential energy conservation programs permitted under state law for certain federal exemption; to create a fund; to encourage the utilization of resource recovery facilities; to prohibit certain acts and practices of providers of energy; to allow for the securitization of stranded costs; to reduce rates; to provide for appeals; to provide appropriations; to declare the effect and purpose of this act; to prescribe remedies and penalties; and to repeal acts and parts of acts,"(MCL 460.1 to 460.11) by adding section 6bb.
AI Summary
This bill prohibits electric and natural gas utilities from making donations or contributions to certain political organizations, including 501(c)(4) and 527 organizations associated with state political candidates, elected or appointed officials, political committees, and party committees. The bill requires utilities to attest that they are not violating these restrictions when submitting rate case applications and that they have informed all "covered persons" about the requirements. Violations would result in significant financial penalties, with civil fines ranging from 5 to 10 times the amount of the unlawful contribution. The term "covered person" is broadly defined to include utility principals, executives, board members, significant shareholders, and organizations with close ties to utility leadership. The bill defines numerous terms related to political organizations and officials, and provides detailed provisions about who is considered an "affiliate" or "principal" for the purposes of these restrictions. If a covered person violates the law, the utility may face additional penalties, including potential denial of rate increase requests. The bill aims to prevent utilities from using ratepayer funds to indirectly influence political activities or campaigns.
Committee Categories
Government Affairs
Sponsors (11)
Dylan Wegela (D)*,
Erin Byrnes (D),
Jim DeSana (R),
Emily Dievendorf (D),
Sharon MacDonell (D),
Mike McFall (D),
Donavan McKinney (D),
Jason Morgan (D),
Natalie Price (D),
Carrie Rheingans (D),
Jimmie Wilson (D),
Last Action
Bill Electronically Reproduced 04/23/2025 (on 04/24/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4381 |
| BillText | https://legislature.mi.gov/documents/2025-2026/billintroduced/House/htm/2025-HIB-4381.htm |
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