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HB 5524

State management: funds; funding for businesses with lost revenue due to road construction projects; provide for. Amends 1951 PA 51 (MCL 247.651 - 247.675) & adds sec. 10q.

2025-2026 Regular Session Introduced by Brenda Carter and 17 co-sponsors

Michigan bill would create state compensation fund for businesses losing revenue due to road construction projects, pending funding source and eligibility criteria determination.

bill electronically reproduced 02/18/2026
#businesses:other #highways:constructionandrepair #statemanagement:funds
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Bill Summary · HB 5524

Legislative bill overview

HB 5524 would establish a state fund to compensate businesses that experience lost revenue as a direct result of road construction projects in Michigan. The bill amends the Michigan Transportation Fund statute and creates a new mechanism for eligible businesses to seek reimbursement for documented economic losses during construction periods.

Why is this important

Road construction projects can significantly impact nearby businesses through reduced customer access, parking limitations, or decreased foot traffic. This bill attempts to address a longstanding gap where businesses bear economic costs of public infrastructure improvements without compensation, potentially affecting small businesses and local economies in construction zones.

Potential points of contention

  • Cost and funding source: The bill doesn't specify how the compensation fund would be financed or what total budget it would require, raising questions about whether it draws from existing transportation budgets or requires new revenue
  • Eligibility and proof requirements: Determining which businesses qualify and how to verify "lost revenue" caused specifically by construction (versus other economic factors) could be administratively complex and subject to disputes
  • Precedent and scope: Creating compensation for construction-related losses could establish expectations for other infrastructure projects and potentially encourage similar claims, expanding state liability unpredictably

Compiled from official sources — confirm details with the bill’s official record.

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