Vote Smart's Synopsis:

Vote to pass a bill that requires utility companies to reduce rates charged to customers based on tax reductions in Michigan.

Highlights:

• Requires each natural gas and electric utility to provide the Michigan Public Services Commission (MPSC) with a statement of the amount of money saved in the most recent tax year as a result of exemptions under the General Property Tax Act (Sec. 1).

• Specifies that utilities must provide this statement within 60 days of the effective date of this Act (Sec. 1).

• Requires MPSC to begin proceedings for a utility within 30 days of receiving its statement of savings to verify the amount saved and order a decrease to the utility’s residential rates equal to the amount of tax saved (Sec. 1).

• Prohibits a utility from applying to increase rates until at least two years after the date of the ordered rate decrease (Sec. 1).

Full Bill Text