Mich. Comp. Laws § 460.965

Sec. 5. (1) Pursuant to section 7, a municipality may do all of the following: (a) Establish a residential clean energy program. (b) From time to time, designate a district or districts within its territorial jurisdiction where residents are served by a municipal electric utility. Districts may be separate, overlapping, or coterminous. (2) Under a residential clean energy program, the municipality may enter into a contract with a record owner of property within a district to finance or refinance 1 or more energy projects on the property. The financing or refinancing may include the cost of materials and labor necessary for installation, home energy audit costs, permit fees, inspection fees, application and administrative fees, bank fees, and all other fees that may be incurred by the record owner for the installation on a specific or pro rata basis, as determined by the municipality.