Green energy bank asks taxpayers for $5M more in 2027

For the second time in three years, a legislator has requested $5 million from the state budget to fund Michigan Saves, a so-called green bank that receives the majority of its funding from taxpayers.

The earmark was requested by Rep. Timothy Beson, R-Bay City. The representative stated in his request that the money would be “a smart way to bring more private investment into Michigan communities while helping residents and businesses afford energy improvements.”

Beson added that the focus is on financing renewable energy projects.

Gov. Gretchen Whitmer has pushed the state to transition to renewable energy sources such as wind and solar power, and state law mandates drastic reductions in carbon dioxide emissions through coming decades. These efforts have substantially increased energy rates for residents and businesses.

Michigan Saves provides for an “equitable transition to a carbon-free Michigan where everyone has access to the benefits of clean energy and climate-resilient solutions,” according to its website.

This year’s haul for Michigan Saves may be smaller than Beson’s target. The approved budget that now awaits Whitmer’s signature includes a $1 million line item labeled “green energy bank.” But Michigan Saves already receives the majority of its funding from taxpayers, according to the group’s 990 forms.

Michigan Saves received $13,818,224 in government grants in 2024 and reported $20,641,601 in revenue, according to the 990 forms, which are required by the Internal Revenue Service. This was the same year Michigan Saves asked for $5 million from the 2025 state budget.

Out of $17,758,875 reported in total revenue in 2023, $12,814,419 came from government grants.

“Publicly funded non-profits are simply not a good idea,” said David Stevenson, director of energy and environmental policy at the Mackinac Center for Public Policy.

There is no accountability over whether the spending of funds is having the intended impacts, he said.

“Most non-profits must raise their own funding, which brings accountability from their donors,” Stevenson said.

Michigan Capitol Confidential reported in 2024 that 66% of Michigan Saves’ expenses went to administrative costs. The organization paid significant sums to Public Sector Consultants for management and staffing services. The Lansing lobbying and consulting firm received $1,743,549 in 2020, followed by $2,066,238 in 2021 and $2,664,830 in 2022.

Michigan Saves does not disclose how much money it spends on executive salaries. The 990 form has a reporting section for salaries of executives and employees at a nonprofit, which most organizations reviewed by CapCon fill out. The green energy bank did not divulge this information in its IRS statements.

The organization does not disclose individual employee compensation beyond what is required by applicable reporting and disclosure laws, according to Lateshia Parker, director of marketing and communications at the organization, in an email to CapCon.

“To clarify, Michigan Saves changed its staffing structure on January 1, 2026 and is no longer operated through Public Sector Consultants,” Parker wrote.

She noted that Michigan Saves directly employs its staff and complies with all federal and state reporting requirements.

Beson did not respond to a request for comment.