Advocates push for Michigan to pass stalled Water Affordability Fund

(The Center Square) – Advocates are pushing for Michigan lawmakers to pass a 2023 bill package, which would create a statewide fund aimed at subsidizing the water utility bills for low-income households.

Just days before Republicans will take control of the House, the bills remain stalled in committee. Yet, a coalition has formed to try to push the legislation through.

“All Michigan communities need safe, clean, affordable water to drink and wash their hands to prevent germs from spreading. Water is a basic right, and no one should have their water shut off,” said the Michigan Environmental Justice Coalition in a statement. “Michigan lawmakers must pass statewide water affordability to protect all communities!”

The legislation, Senate Bills 549-554, would create a Low-Income Water Residential Affordability Program, designed to ensure low-income families do not spend more than 2% or 3% of the household income on a water bill. The bills were updated in 2024 and a similar set of bills also sits in committee in the House.

To fund the program, which would be managed by the Michigan Department of Health and Human Services, all water and sewage customers in the state would pay an additional $2 fee every month. The Department of Treasury would also have the option to adjust the annual fee after three years.

More than 370,000 Michigan households would qualify for assistance, according to a November report from Public Sector Consultants.

Sen. Joe Bellino, R-Monroe, responded to the proposal during a recent interview with a local radio station.

“Somewhere in the last couple of years, some people decided that water is a given right,” he said. “I say that is BS. We are going to fight these taxes and the Republicans are lockstep on these taxes to vote no.”

The legislation would restrict companies from shutting off water for delinquencies for all customers enrolled in the program, requiring “specific requirements” before water can be shut off.

Enrolled customers could also be eligible to receive forgiveness for overdue balances of up to $1,500 in the first year they are enrolled, with an additional $1,500 in the second year.

Sen. Stephanie Chang, D-Detroit, sponsored parts of the bill package and has been an advocate for it since it was first proposed in Oct. 2023.

“Water bills continue to rise for many Michiganders. We have bipartisan, comprehensive solutions to make these bills more affordable across the state,” Chang said in a statement. “Let’s make it happen.”

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