A permanent solution for Michigan roads

Categories: Blog Features,Initiatives,Reinventing MI

Over the past four years,
House Republicans have worked to make road funding
a priority, and today we are paving the way for a permanent, long-lasting bipartisan solution.

Both parties from the House and Senate worked together with the governor to come up with a plan that, when approved, provides $1.2 billion annually for maintaining and improving our roads, while also allowing the state to pay off its existing $1.2 billion road bond debt within two years.

If the plan receives Legislative and voter approval, we will see the transportation budget increase to $1.3 billion annually, including approximately $1.2 billion for roads and $112 million annually for transit and rail.

The proposal at a glance:
+Increase the state’s sales tax from 6 to 7 percent
+End sales taxes on motor fuels
+Raise additional funds through registration fees
+Tax relief for low- and middle-income workers
+School Aid Fund dollars go to early childhood education, K-12 schools and community colleges

The plan would allocate an additional $300 million annually for schools–a $200 per pupil increase–ensure $94 million for local governments and give low- to middle-income families $260 million in tax relief through the state’s Earned Income Tax Credit.

The Legislature already set aside $285 million for roads and bridges in the 2015 budget.

Since 2010, House Republicans have invested more than $870 million from existing resources in improving our state’s roads, compared to the zero general fund dollars spent on roads from 2003 to 2011. That’s a full $870 million more than previous “leadership” put toward fixing our state’s crucial transportation infrastructure.