MichiganHB 41872025-2026 Regular SessionHouseWALLET

Individual income tax: revenue distributions; distribution and use of renew Michigan fund and lapse of interest and earnings from the revitalization and placemaking fund to general fund; modify and provide for. Amends secs. 51, 51g & 696 of 1967 PA 281 (MCL 206.51 et seq.).Last Action: assigned PA 82'26 with immediate effect

Sponsored By: Pat Outman (Republican)

Signed by Governor

Individual income tax: revenue distributionsCorporate income tax: revenue distribution

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

Michigan funds cleanup and recycling projects

Michigan directs income tax revenue to the Renew Michigan Fund for cleanup, redevelopment, waste management, and recycling. Deposits total $52 million in state fiscal year 2026–2027 and $56 million each year in 2027–2028 and 2028–2029. Starting in 2029–2030, deposits total $69 million each year. For 2026–2027 through 2028–2029, cleanup and redevelopment receive 64%, waste management 17%, and recycling 19%; afterward, shares are 65%, 13%, and 22%. Spending requires legislative approval through appropriations; this funding supports projects, not direct household payments.

More income tax money for schools

Michigan sends a calculated share of income tax collections to the State School Aid Fund. From October 1, 2025, through September 30, 2026, that share equals 1.033% divided by the income tax rate. Beginning October 1, 2026, the formula uses 1.040% divided by the income tax rate. Both formulas apply to gross collections before refunds. This directs more tax revenue toward public education without directly changing household tax bills.

Revitalization earnings shift to general spending

Starting in state fiscal year 2026–2027, all accrued investment interest and earnings from the Revitalization and Placemaking Fund go to Michigan’s General Fund. This adds money for general state spending instead of keeping those earnings available for revitalization grants. The law does not specify a dollar amount or directly change household taxes.

Sponsors & Cosponsors

Sponsor

  • Pat Outman

    Republican • House

Cosponsors

  • Alicia St. Germaine

    Republican • House

  • Angela Rigas

    Republican • House

  • Ann Bollin

    Republican • House

  • Brian BeGole

    Republican • House

  • Cameron Cavitt

    Republican • House

  • Curtis VanderWall

    Republican • House

  • David Martin

    Republican • House

  • David Prestin

    Republican • House

  • Donni Steele

    Republican • House

  • Gina Johnsen

    Republican • House

  • Gregory Alexander

    Republican • House

  • Gregory Markkanen

    Republican • House

  • Jamie Thompson

    Republican • House

  • Jason Woolford

    Republican • House

  • Jay DeBoyer

    Republican • House

  • John Roth

    Republican • House

  • Ken Borton

    Republican • House

  • Luke Meerman

    Republican • House

  • Mark Tisdel

    Republican • House

  • Matt Bierlein

    Republican • House

  • Mike Hoadley

    Republican • House

  • Nancy Jenkins-Arno

    Republican • House

  • Sarah Lightner

    Republican • House

  • Steve Frisbie

    Republican • House

  • Thomas Kuhn

    Republican • House

  • Tim Kelly

    Republican • House

  • Tom Kunse

    Republican • House

  • William Bruck

    Republican • House

Roll Call Votes

All Roll Calls

Yes: 196 • No: 55

Senate vote • 7/3/2026

PASSED; GIVEN IMMEDIATE EFFECT

Yes: 26 • No: 10 • Other: 2

House vote • 7/3/2026

roll call

Yes: 107 • No: 0 • Other: 3

House vote • 3/19/2025

passed; given immediate effect

Yes: 63 • No: 45 • Other: 2

Actions Timeline

  1. assigned PA 82'26 with immediate effect

    7/29/2026House
  2. filed with Secretary of State 07/27/2026 12:04 PM

    7/29/2026House
  3. approved by the Governor 07/21/2026 02:28 PM

    7/29/2026House
  4. presented to the Governor 07/14/2026 12:08 PM

    7/14/2026House
  5. bill ordered enrolled

    7/3/2026House
  6. title amendment agreed to

    7/3/2026House
  7. roll call Roll Call #329 Yeas 107 Nays 0 Excused 0 Not Voting 3

    7/3/2026House
  8. Senate substitute (S-3) concurred in

    7/3/2026House
  9. rule suspended

    7/3/2026House
  10. laid over one day under the rules

    7/3/2026House
  11. returned from Senate with substitute (S-3) with immediate effect and title amendment

    7/3/2026House
  12. INSERTED FULL TITLE

    7/3/2026Senate
  13. PASSED; GIVEN IMMEDIATE EFFECT ROLL CALL # 205 YEAS 26 NAYS 10 EXCUSED 2 NOT VOTING 0

    7/3/2026Senate
  14. AMENDMENT(S) ADOPTED

    7/3/2026Senate
  15. AMENDMENT(S) WITHDRAWN

    7/3/2026Senate
  16. PLACED ON IMMEDIATE PASSAGE

    7/2/2026Senate
  17. RULES SUSPENDED

    7/2/2026Senate
  18. PLACED ON ORDER OF THIRD READING WITH SUBSTITUTE (S-3)

    7/2/2026Senate
  19. SUBSTITUTE (S-3) CONCURRED IN

    7/2/2026Senate
  20. REPORTED BY COMMITTEE OF THE WHOLE FAVORABLY WITH SUBSTITUTE (S-3)

    7/2/2026Senate
  21. RULES SUSPENDED FOR IMMEDIATE CONSIDERATION

    7/2/2026Senate
  22. PLACED ON ORDER OF GENERAL ORDERS

    7/2/2026Senate
  23. DISCHARGE COMMITTEE APPROVED

    7/2/2026Senate
  24. REFERRED TO COMMITTEE ON APPROPRIATIONS

    4/15/2025Senate
  25. PASSED BY HOUSE WITH IMMEDIATE EFFECT

    4/15/2025House

Bill Text

  • Public Act

    7/21/2026

  • As Passed by the House

    7/3/2026

  • As Passed by the Senate

    7/3/2026

  • House Concurred

    7/3/2026

  • Introduced

    3/6/2025

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