Problem of Inter-Departmental Grants continues to tap critical funding for Michigan's roads and transportation infrastructure
LANSING - Had the Michigan Senate on Tuesday adopted an amendment to HB 4082 offered by Sen. Mike Prusi (D-Ishpeming), it would have found an addition $24 million by adjusting how the state assesses vehicle registration fees, money that could have replenished the Michigan Transportation Fund for funds lost to Inter-Departmental Grants to state agencies, said Mike Nystrom, vice president for government and public relations for the Michigan Infrastructure & Transportation Association.
“Using transportation dollars to balance the budget through Inter-Departmental Grants between state agencies continues to deplete Michigan's ability to adequately fund its transportation needs,” Nystrom said. “Senator Prusi's amendment would have eliminated the need to transfer money out of the Michigan Transportation Fund this year and next, and created a more equitable way for the state to assess and collect vehicle registration fees.”
Nystrom said MITA and its members will continue to work with lawmakers to end such transfers from the MTF so that needed transportation projects can be funded appropriately. Currently, Michigan falls about $700 million short annually in funding available to maintain and manage efficiently the state's roads and transportation infrastructure.