House committee reports $75 million supplemental for Northern Michigan storm relief

The Michigan House Appropriations Committee on Monday voted to report House Bill 4,328, a $75 million supplemental appropriation that would provide state funding administered by the Michigan State Police to support recovery in communities hit by a recent, widespread ice and wind storm in Northern Michigan.

The bill, sponsored by Representative Fairbairn, would direct $75 million from the State General Fund to the Department of State Police to administer a storm disaster relief program. Under the bill, money may be used for state match requirements tied to federal emergency funds, emergency actions to protect life and property (including shelter and supplies), labor assistance and temporary employment, energy assistance to prevent shutoffs, and repair or replacement of disaster-damaged infrastructure and nonprofit facilities. Remaining funds may be allocated on a first-come, first-served basis for state-owned land and Department of Natural Resources property and to reimburse third-party responders, including first responders, for deployment costs. The bill designates unexpended funding as a work project account to carry forward until expended or Sept. 30, 2027.

Why it matters: Lawmakers said the damage across Northern Michigan is extensive and uneven, with some communities still without power and others facing collapsed local resources. Representative Fairbairn told the committee the appropriation is time-sensitive and intended to work in tandem with a possible federal disaster declaration; he noted federal assistance typically requires a 25% state match, which he said could enable a roughly $300 million total recovery plan if federal aid is approved.

Committee members from affected districts described damage to poles, substations, roads and millions of acres of timber and emphasized urgent local needs. "We still have 4,000 people in my district in schools that are closed ... going on 18 days without power," Representative Cabot said, describing long outages, fuel shortages for generators and disruptions to ambulance and 911 responses. Senator Demuth, who joined a recent briefing on the emergency, told the committee many homeowners face costs they cannot afford and that insurance will not cover all damage.

Representative Preston and other northern lawmakers described what they called unprecedented damage to cooperative distribution systems and substations. Preston said preliminary local estimates include thousands of poles and substantial transformer and substation damage and urged aggressive state assistance to support mutual-aid crews and long-term rebuilds.

Representative Farhat offered an amendment to tie the bill to Senate Bill 55, which she said contains about $50 million awaiting dispersion for communities with FEMA requests; the amendment was moved and put to a roll call vote and was not adopted. After debate and follow-up questions about administration and eligibility, Representative Cabot moved to report House Bill 4,328 to the full House with the committee's recommendation. The clerk recorded the vote and the chair declared the bill reported with recommendation.

Votes at a glance: The committee reported House Bill 4,328 with recommendation on a recorded vote of 26 yeas, 0 nays, 1 pass. An amendment offered by Representative Farhat to tie the bill to Senate Bill 55 failed on a roll-call vote; the amendment was moved by Representative Farhat and recorded as not adopted.

What remains unclear: The bill tasks the State Police with administering the program and with allocating funds to local units, but the bill text requires additional local assessments and approvals to determine final allocations. Lawmakers and staff said damage estimates remain preliminary and will be refined as local assessments continue.

Next steps: With the committee recommendation, House Bill 4,328 will move to the House floor for further consideration. Lawmakers said they expect coordination with federal authorities, including FEMA and the U.S. Small Business Administration, to determine federal assistance and matching obligations.