MI House Republicans Pass Road Funding Legislation That Could Bring Tens of Millions Back to Hillsdale County

The legislation proposes to cut corporate welfare programs while doubling local infrastructure spending

Mar 20, 2025

On Wednesday, the Michigan House of Representatives passed a road funding package, which, if it becomes law, would bring millions of dollars back to Hillsdale County and its cities and villages.

The legislation, which includes House Bills 4180-4187 and 4230, would increase road funding by $3.14 billion, with nearly $2 billion going to the state’s county road commissions, cities, and villages.

The increased funding would not come with tax hikes for Michiganders, but rather from the phasing out of the Michigan Economic Development Corporation’s corporate tax subsidy programs.

It would achieve this aim by increasing the business tax rate such that corporations would be inclined to forego their tax subsidies, opting instead for the lower corporate income tax rates.

The money that would otherwise have gone towards these subsidies would instead be appropriated for local infrastructure.

The Republican majority in the House passed the legislation, but the Democrat-controlled Senate has already signaled that it will try to kill the bills.

“I was excited to vote yes on the road funding package today,” Rep. Jennifer Wortz, R-Quincy, told the Hillsdalian. “Our local roads have often been left behind in the state budget process, especially in rural areas like my district.”

Currently, Democrats hold 19 seats in the Senate, a slight advantage over the Republicans’ 18. Any passed bill would also have to be signed into law by Gov. Gretchen Whitmer.

Senate Majority Leader Winnie Brinks, D-Grand Rapids, is on the record calling the proposal “nonsense,” according to a Detroit News report. Whitmer’s own infrastructure proposal involves raising taxes on the people in order to keep the state’s corporate subsidies in place.

Still, Wortz remained hopeful that the Democrats would be willing to consider the infrastructure investment.

“Our plan dedicates over 3 billion dollars a year in recurring funds to additional road funding,” Wortz said. “State spending has gone up by 30 billion dollars since 2018. We can afford the investment without more taxes, and I hope our colleagues in the Senate will see that and move forward on this.”

If the bills become law, the city of Hillsdale’s funding would more than double, according to a report from the House Fiscal Agency provided by Wortz’s office.

The projection, as seen in the appendix below, shows that Hillsdale’s distribution from the Michigan Transportation Fund would jump from $1,219,328 in 2024 to $3,003,128 in 2025.

All cities and villages would receive a similar benefit under the Republicans’ plan.

Jonesville, Litchfield, and Reading as well as the villages of Allen, Camden, Montgomery, North Adams, and Waldron would see their road funding more than double.

The Hillsdale County Road Commission’s funding would also increase from $8,773,936 in 2024 to $17,499,800 in 2025.

Joshua Paladino

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