(The Center Square) – Michigan Gov. Gretchen Whitmer recently introduced a $3 billion plan to “fix the damn roads,” her 2018 gubernatorial campaign promise.
The Mi Road Ahead plan, announced will invest $1 billion in local roads and $250 million in public transit programs throughout the state.
“Since day one, I’ve been focused on fixing the damn roads, and while I’m proud of the progress we’ve made, there’s still a lot more to do,” said Whitmer, a Democrat. “I’m excited to introduce my brand-new plan that provides a long-term, sustainable solution to fix our roads so we can help more Michiganders stay safe on the road, save money, and get where they’re going faster.
To fund the plan, the governor has proposed new revenue sources, including:
• $1.7 billion in additional revenue from making “corporations pay their fair share to do business in Michigan.”
• Cutting costs, which will “inject $500 million of additional funding into road and bridge repairs.”
• No longer exempt the marijuana industry from the wholesale tax, raising an additional $470 million.
• Re-direct gas tax funds to infrastructure, funding “$1.2 billion towards roads, bridges, and transit across the state.”
While Whitmer calls the plan “responsible and balanced,” Republicans have concerns, especially about the proposed tax increases.
“We know that our local roads have been neglected for far too long and that something has to get done as soon as possible,” said state Rep. Dave Prestin, R-Cedar River. “Unfortunately, the governor’s proposal depends on irresponsible tax increases, which will be more likely to push employers out of the state rather than fix our roads.”
In January, House Republicans introduced a $3.1 billion legislative bill to fix the roads which did not raise taxes, instead using existing revenue. They responded to Whitmer’s plan in a statement.
“House Republicans have proven we can put over $3 billion towards fixing our roads without raising taxes,” House Republicans said. “Gov. Whitmer released her plan today, and it puts less money toward roads and raises taxes.”
Democrats disagree, stating that Whitmer’s plan closes tax loopholes and cuts costs.
“The Mi Road Ahead Plan is a fiscally responsible, balanced plan that will help us build on this work, grow access to public transit, and help local communities across Michigan fix roads,” said Lt. Gov. Garlin Gilchrist II.
The fiscal year 2025-2026 budget controversially did not include funding for fixing the roads, leading to the governor proposing a separate plan. The budget proposed will total $83.5 billion, just $1 billion more than last fiscal year’s budget of $82.5 billion. That signals a significant slowdown in the year-over-year budget increases of the past few years.
Rep. Ann Bollin, R-Livingston and chair of the House Appropriations Committee, said that funding for the roads is not the issue.
“The problem isn’t revenue, it’s priorities,” she said. “The money is there. We don’t need higher taxes to fix our roads. We need leadership that respects taxpayers, spends responsibly, and makes roads a priority.”
In Michigan, the governor has the overall budget responsibility, but must then work with the state Senate and House to pass it. While Republicans in control of the House, this will mean compromises from both sides.
