Michigan House passes road funding bills

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LANSING Mich. -- After months of going back and forth about road repairs in Michigan, lawmakers in Lansing worked late Wednesday night to break a deadlock on a bipartisan plan didn't go anywhere for weeks. The state House approved several bills aimed at raising the $1.2 billion Governor Snyder says is needed to fix the roads in our state.

The plan is built around a $600 million split. Half of the funds come from the state's existing revenue. The rest will come from new gas and diesel taxes and increased vehicle registration fees.

A House Fiscal Agency report says the bills would raise vehicle registration fees by 40 percent, effective October 2016. The tax on diesel would rise by four cents a gallon in October 2017, while the tax on gasoline would rise by 3.3 cents per gallon in October 2018. After October 2022, fuel taxes would rise based on the Consumer Price Index, with a cap of 5 percent per year.

Another bill assigns portions of revenue from the state income tax to the Michigan Transportation Fund.

The entire plan would be phased in over the next five years, rising to $1.2 billion for transportation by 2021.

Revenue in the Michigan Transportation Fund is divided among highway repairs and construction, public transportation, county road commissions, and local city road agencies.

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10 comments

  • Sally

    It is wrong on so many levels for the state legislature to pass bills that the voters voted down. We, the people, simply cannot afford more taxes. People in public office should be acting for the public, funds are already earmarked for the roads, quit using them to pay yourselves and give yourselves raises. Public office should be be paid a pittance,if anything, not large incomes and full time retirement for 2-4 years of service. Stop that and, there would be more then enough for roads, and maybe some honest people in politics.

  • Commonsense

    Being a conservative, I will be voting against any republican that supported this tax hike. I seem to remember a hike in registration and other fees not too many years ago that was supposed to fix this problem.

    The first step is to repeal the Prevailing Wage law then discuss other sources of funding. That alone could save hundreds of millions of dollars.

  • Bruce

    Everyone needs to be replaced , the people are not being represented here. Michigan is turning into taxachusetts. If our unemployment rate is really below national average there should be plenty of tax dollars already there

  • William Freigruber

    Michigan gas taxes are at $ 0.613 per gallon. Higher than any other cold weather state and higher than Ohio where Governor Snyder says they spend a billion more on roads than Michigan does, where do they get it from ? We are about the seventh highest in gas taxes and 47th worse in road conditions. Where is all the money going ? To contractors who tear up hundreds of miles of good base concrete to put down new base concrete instead of repairing sealing and capping them like every other state does. Ever wonder why your local roads remain full of pot holes and the only fix is dumping a shovel full of asphalt repair in some of them while massive billion dollar projects like the I-94 one in Port Huron or the I-75 tear and replace projects continue ? We could fix nearly every road in Michigan for what we are spending to replace usable concrete on highways.

    • William Freigruber

      Another item MDOT is going to spend(waste) millions on replacing the current orange barrels with ones that have a different reflector strip but the roads won’t get fixed. What’s wrong in Lansing ?