Michigan House approves road funding package that redirects fuel sales tax revenue to roads

Lansing — The Michigan House of Representatives on March 18 passed a multi-bill road funding package made up of House Bills 4180–4187 and 4230 that replaces the state’s current general sales tax treatment of motor fuel with a new funding structure intended to send those revenues to road and local road agencies.

Supporters framed the plan as a long-term, revenue-neutral fix that will allow the Michigan Department of Transportation and county road agencies to plan multi-year projects. Opponents said the shift risks large cuts to schools, health care and housing programs and urged more time to assess budget impacts before enacting the changes.

Representative Altman, a sponsor, said the package “directly addresses these challenges, dedicating an additional $3.1 billion annually to fixing our roads with a strong focus on the local roads people rely on every single day.” Representative Coontz said the proposal “fixes the problem without raising taxes” and cited $2,550,000,000 that the plan directs to local roads. Representative Longjohn, who identified himself as the only physician in the House, said he opposed the package and warned that…