Businesses: nonprofit corporations; power of nonprofit corporations to spend in elections or ballot issues; revoke. Amends secs. 261, 271, 821, 1012 & 1041 of 1982 PA 162 (MCL 450.2261 et seq.) & adds sec. 261a. TIE BAR WITH: SB 1085'26, SB 1087'26

SB 1086 amends the Michigan Nonprofit Corporation Act to clarify and expand the legal powers of nonprofit organizations regarding financial activities and governance. The bill specifically adds a new section to detail the authority of nonprofits to make contracts, incur liabilities, and provide guarantees for related entities, such as corporations they own or control. By updating existing statutes and inserting new provisions, the legislation aims to remove previous ambiguities about how nonprofits can manage their assets and support affiliated businesses. This change directly affects nonprofit corporations across the state by formalizing their ability to engage in complex financial arrangements necessary for their operations.