WeVote
Log In

Bill

Bill

HB 4230

Taxation: other; neighborhood road fund; create and provide for the distribution of the fund. Amends 1951 PA 51 (MCL 247.651 - 247.675) by adding sec. 13c.

2025-2026 Regular Session Introduced by Pat Outman

Michigan creates dedicated Neighborhood Road Fund from motor fuel tax to distribute funding for local residential street maintenance and repair.

REFERRED TO COMMITTEE ON APPROPRIATIONS
#taxation:other #transportation:funds
0
WeVote Research Nonpartisan
Bill Summary · HB 4230

Legislative bill overview

HB 4230 creates a new "Neighborhood Road Fund" in Michigan and establishes a mechanism for distributing tax revenue to support local road maintenance and improvements. The bill amends the Motor Fuel Tax Act (1951 PA 51) by adding section 13c to define funding sources and distribution procedures for this dedicated fund.

Why is this important

Michigan's local roads have faced chronic underfunding, with many municipalities struggling to maintain infrastructure. This bill attempts to address that gap by creating dedicated revenue specifically for neighborhood-level road work, potentially improving conditions on residential streets and lower-traffic roads that often receive less state funding than major highways.

Potential points of contention

  • Funding source unclear: The bill text provided doesn't specify what tax revenue or existing funds will supply the Neighborhood Road Fund, raising questions about whether this represents new revenue or reallocation from other programs
  • Distribution formula disputes: How funds will be distributed among municipalities—by population, road mileage, condition assessment, or other metrics—could significantly affect which communities benefit and which lose out
  • Implementation costs: Creating and administering a new fund structure involves bureaucratic overhead that some argue could reduce the actual dollars reaching roads compared to existing programs

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

Sign in to ask a question.