MDOT, railroad trade group tell House panel Michigan ports and freight rail need sustained grants, partnerships

The Michigan House Appropriations Subcommittee on State and Local Transportation heard presentations Wednesday from Michigan Department of Transportation officials and the Michigan Railroads Association on the condition, use and funding needs of the state’s ports and freight rail network.

Alicia Wolf, freight policy specialist for the Michigan Department of Transportation, told the committee that Michigan has 33 active cargo ports handling about 46,100,000 tons of cargo annually, a figure she said the department values at around $9,000,000. Wolf said waterborne commerce accounts for roughly 9% of the state’s freight tonnage and 1% of freight value, and that most Michigan marine terminals are privately owned and operated.

“The maritime system in Michigan is very essential to the transportation system and the overall economy of Michigan,” Wolf said, noting ports rely on a mix of private revenue and federal and state grants. She described MDOT’s new Michigan Maritime and Port Facility Assistance Grant Program, created by Senate Bill 744 (2022) and funded with a one-time $5,000,000 appropriation in fiscal 2024, which awarded five projects designed to strengthen competitiveness, reduce freight costs and mitigate environmental impacts. Wolf said the program leveraged roughly $25,000,000 in investment and attracted 12 applications requesting about $17,000,000.

Peter Anister, director of rail at MDOT, described Michigan’s freight rail: about 3,600 miles of rail in the state, roughly 665 miles owned by MDOT, and…