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SB 265

Transportation: funds; maintenance of nonmotorized transportation infrastructure; provide for. Amends sec. 10k of 1951 PA 51 (MCL 247.660k).

2025-2026 Regular Session Introduced by Roger Victory

Requires at least 1% of each MTF recipient’s funds be spent on nonmotorized transportation facilities, with multi-year averaging up to 10 years.

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Bill Summary · SB 265

Summary — SB 265 (Amendment to MCL 247.660k)

Subject: Transportation funds; maintenance of nonmotorized transportation infrastructure

Status: Introduced Feb 3, 2025; referred to the Senate Committee on Transportation and Infrastructure.
Statute amended: Sec. 10k of 1951 PA 51 (MCL 247.660k).

Purpose / intent

SB 265 clarifies and strengthens statutory requirements for spending Michigan Transportation Fund (MTF) allocations on nonmotorized transportation facilities and services (e.g., sidewalks, bike lanes, paved shoulders). The bill is intended to ensure a sustained, predictable minimum investment in infrastructure that supports bicyclists, pedestrians and other nonmotorized users and to integrate nonmotorized facilities into routine road projects.

Key provisions

  • Minimum spending requirement: Requires that a reasonable amount — but not less than 1% — of MTF funds allocated to the state trunk line fund and to counties, cities and villages be expended on constructing, improving, maintaining, or repairing nonmotorized transportation facilities. (The bill explicitly states “maintaining” does not include snow removal.)
  • Definition of qualifying improvements: Lists examples of qualified nonmotorized facilities (paving unpaved shoulders, lane widening, adding or improving sidewalks, and similar measures that facilitate nonmotorized travel).
  • Multi‑year averaging: Jurisdictions are not required to meet the 1% target every single year provided the requirement is met on average over a reasonable multi‑year period (not to exceed 10 years).
  • Five‑year planning and calculation: Requires each MTF recipient (state department, county, city, village) to prepare a 5‑year program for qualified nonmotorized improvements. The program must be scaled so implementation would equal at least (1% of the recipient’s previous calendar year MTF distribution × 10) minus the total expenditures on qualified nonmotorized facilities in the immediately preceding 5 calendar years. Notification and consultation rules require counties, cities and the department to notify and consult with each other when preparing plans that affect another jurisdiction’s facilities.
  • Project integration / exceptions: Nonmotorized facilities (including complete‑streets elements) must be established when a highway/street is constructed, reconstructed or relocated unless one of several exceptions applies: disproportionate cost relative to need, public safety or legal conflicts, already adequate facilities, or the jurisdiction already is spending in excess of the 1% threshold (in which case additional spending is discretionary).
  • Technical assistance: Empowers the state transportation department to provide planning, design and construction assistance to local road agencies.

Who is affected

  • Primary: Michigan Department of Transportation (MDOT), county road commissions, cities, villages and other units that receive MTF distributions.
  • Secondary: Road users — bicyclists, pedestrians, micromobility users — and communities that will benefit from increased nonmotorized infrastructure.
  • Fiscal: Funding shifts within MTF allocations — jurisdictions must allocate at least 1% of their eligible MTF distributions to nonmotorized projects (potentially affecting how other local transportation needs are budgeted).

Implementation / timeline issues

  • The bill amends existing MCL 247.660k and takes effect upon enactment (no separate effective date specified in the text provided).
  • Recipients must prepare 5‑year nonmotorized programs and coordinate notifications/consultation as described; the bill uses prior‑year MTF distributions as the basis for the 5‑year funding target calculation.
  • The statute allows averaging over up to 10 years, giving jurisdictions flexibility in timing project delivery.

Potential impacts and considerations

  • Predictable baseline investment in nonmotorized infrastructure across state and local jurisdictions.
  • May require jurisdictions to reallocate or reprioritize existing MTF budgets to meet the statutory 1% minimum.
  • Gives flexibility (multi‑year averaging, exceptions) to accommodate local conditions and budget cycles.
  • No fiscal note was attached in the materials provided; actual budgetary effects will depend on current local spending levels and whether jurisdictions were previously meeting the 1% threshold.

If you’d like, I can:
- Compare the bill’s language to current MCL 247.660k to show exact changes, or
- Draft a one‑page talking points memo for local governments explaining compliance steps.

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

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