Michigan Compiled Laws, Chapter 259. Aviation § 259.54

Sec. 54. (1) The commission may cooperate with the government of the United States and any agency or department thereof, in the acquisition, construction, improvement, maintenance, and operation of airports, landing fields, and other aeronautical facilities in this state where federal financial aid is received. The commission shall comply with the laws of the United States and any regulations made under those laws for the expenditure of federal money upon airports, landing fields, and other aeronautical facilities for which federal financial aid is received.

(2) The commission may accept, receive, receipt for, and disburse, federal or other money for and in behalf of this state or a political subdivision of this state, for the acquisition, construction, improvement, maintenance, and operation of airports, landing fields, and other aeronautical facilities in this state. In each case, the commission shall act as agent of the political subdivision of this state in accepting, receiving, receipting for, and disbursing such money in behalf of the political subdivision. The governing body of a political subdivision in this state may designate the commission as its agent for these purposes, as provided in section 135.  1

(3) Money accepted for disbursement by the commission pursuant to subsection (2) shall be deposited in the state treasury and disbursed in accordance with the provisions of the respective grants and the fiscal procedures of the state treasurer.

(4) The commission may assist political subdivisions of this state in the preparation of airport projects under federal statutes that provide federal funding of the airport and airway system, by the furnishing of engineering or other technical services. The cost for such assistance shall be chargeable to the airport project and reimbursable to the commission in accordance with the federal statute providing federal funding as allowable project costs, and deposited to the planning and engineering fund for use on future projects.