Appropriations subcommittee hears Michigan transportation budget briefing; fiscal analyst cites $2.5 billion trunk‑line shortfall

House Fiscal Agency analyst Bill Hamilton gave the House Appropriations Subcommittee on State and Local Transportation an overview of the current state transportation budget and revenue sources, telling committee members that Michigan’s gross transportation appropriations are roughly $6.8 billion and that the state trunk‑line system faces an estimated $2.5 billion funding gap to return pavement to the commission’s 90% good‑condition goal.

Hamilton said the current budget is driven primarily by state restricted revenue and federal aid. “The largest revenue source is state restricted,” Hamilton said during the presentation. He explained that state restricted sources total about $4.2 billion, federal revenue about $2.3 billion, and State General Fund/General Purpose revenue approximately $193 million in the current year budget.

Hamilton said about 83% of the appropriation dollar total supports road and bridge programs (roughly $5.7 billion), about 12% funds public transportation (about $805.6 million) and roughly 5% supports aeronautics (about $330.3 million). He said the budget provides capital and operating assistance to roughly 80 public transit agencies and capital assistance to about 95 publicly owned public‑use airports.

The analyst described the Michigan Transportation Fund (MTF), created in statute by…