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HB 4491

Individual income tax: credit; e-bike transportation incentive program act; create. Creates new act.

2023-2024 Regular Session Introduced by Joey Andrews and 16 co-sponsors

Creates a MEDC-administered voucher program that subsidizes up to 90% of an eligible e-bike's price (max $500) for income-qualified Michigan residents to buy e-bikes.

REFERRED TO COMMITTEE ON GOVERNMENT OPERATIONS
#energy:electricity #individualincometax:credit #stateagencies(existing):treasury #vehicles:bicycles
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Bill Summary · HB 4491

Summary — HB 4491: Michigan E‑Bike Transportation Incentive Program Act

Status: Referred to Committee on Government Operations (most recent referral 2025). Passed the Michigan House (substitute H-5) on December 13, 2024; pending further consideration. Companion: SB 996.

Purpose

Create a state program that issues discount vouchers to help Michigan residents purchase qualifying electric bicycles (e‑bikes), with an emphasis on increasing access for low‑ and moderate‑income residents, promoting alternative transportation, and supporting mobility/electrification goals.

Key provisions

  • Establishes the "Michigan e‑bike transportation incentive program."
  • Administration:
    • Earlier versions: Department of Treasury (H‑2).
    • As passed by the House (H‑5): Michigan Economic Development Corporation (MEDC), which may contract with a Michigan-based third party.
  • Voucher amounts and limits (varies by version — see "Version differences"):
    • Vouchers cover 90% of an eligible e‑bike's retail price, capped at a specified dollar maximum.
    • One voucher per person; each voucher redeemable for one eligible e‑bike.
    • Vouchers expire if not redeemed within a specified period (1 or 2 years depending on version).
    • No vouchers issued after December 31, 2028.
  • Eligible e‑bikes: new e‑bikes with base manufacturer’s retail price ≤ $8,000; minimum 1‑year manufacturer’s warranty that covers service in Michigan; and UL 2849 or EN 15194 certification for battery/electrical system.
  • Eligible recipients:
    • Qualified resident: Michigan resident age ≥ 18 (some versions add "not previously received a voucher").
    • Income‑qualified resident: enrollee in LIEAP, WAP, SNAP, TANF, Medicaid, or household income ≤ 300% of federal poverty level.
  • Retailer rules: retailers must register to participate, have physical Michigan locations (H‑5 requires physical locations and on‑site sales/service), accept vouchers at point of sale, and be reimbursed by the administering agency upon submission of receipts and documentation.
  • Reporting: annual program reports to the governor and legislative committees (reporting start date and end year vary by version).
  • Administrative cost caps (in MEDC versions): limit on percentage of funds for administration (15% in H‑5; other drafts 20%).

Funding and fiscal impact

  • Bill does not include a direct appropriation; administrative and voucher costs depend on future appropriations.
  • Budget boilerplate in FY 2024‑25 referenced a contingent $2.95 million appropriation to implement HB 4491 if enacted.

Who is affected

  • Michigan residents (particularly income‑qualified households) who may use vouchers to purchase qualifying e‑bikes.
  • E‑bike retailers that register and meet participation criteria (service capability in Michigan required in later versions).
  • MEDC or Department of Treasury (administration duties).
  • State budget/appropriations process (funding required for vouchers and administration).

Procedural/timeline notes

  • House passed substitute (H‑5) December 13, 2024 with immediate effect; transmitted to the Senate and referred to Government Operations. As of 2025 the bill has subsequent referrals and reintroductions noted in legislative actions.
  • If enacted, program issuance of vouchers would cease after December 31, 2028; reporting obligations continue for several years after.

Noted benefits and concerns (from committee testimony)

  • Support: improves mobility, workforce access, and reduces transportation emissions.
  • Concerns: practicality of e‑bike use in Michigan winters; potential subsidy benefits to non‑Michigan/foreign manufacturers.

Version differences (high level)

  • H‑2 (committee substitute): Department of Treasury administers; vouchers for both qualified ($300 cap) and income‑qualified ($600 cap); 1‑year validity; requires 50% of funds, if possible, for income‑qualified.
  • H‑5 (as passed House): MEDC administers; program narrowed to income‑qualified residents only; voucher = lesser of 90% of price or $500; vouchers valid 2 years; MEDC capped at 15% admin costs; reporting period extended to 2030.

For specific statutory language, certification requirements, and precise reporting dates, consult the substitute text adopted by the House (H‑5) and the most recent bill version on the Michigan Legislature website.

Compiled from official sources — confirm details with the bill’s official record.

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