Capital investment using PABs creates 6,850 jobs
Independent, non-profit colleges & universities in Michigan have made $378 million in capital investments using private activity bonds in their communities, creating 6,850 jobs over the past decade. In the coming five years, they are projected to invest an additional $125 million creating another 2,260 jobs.
Over the past decade, Michigan's independent, non-profit colleges and universities have invested hundreds of millions of dollars for capital projects in their local communities. Many institutions have used tax-exempt Private Activity Bonds (PABs) to finance certain projects, enhancing their local communities.
Since 2008, Michigan's independent colleges and universities have invested $378 million in capital projects using PABs. These projects have created roughly 6,850 Michigan jobs.
Investments are expected to continue in the coming five years with an additional $125 million for projects creating another 2,260 jobs.
These investments would not have been as large without access to tax-exempt financings through PABs. Michigan's colleges and universities have saved nearly $80 million in interest payments over the past ten years due to the tax-exempt nature of these bonds. This is $80 million that was used for other projects and creating jobs instead of paying interest.