Michigan roads improve but will crumble without funding solution

Michigan’s roads are in the best shape they’ve been in years. But that won’t last for long unless Gov. Gretchen Whitmer and the Legislature enact a long-term plan for funding road improvements.

The Transportation Asset Management Council concluded in its 2024 report, released in May, that 68% of the state’s primary roads are in good or fair condition.

Recent improvements are the best Michiganders have experienced in a long time, said James Hohman, fiscal policy director at the Mackinac Center for Public Policy.

The bad news is they will not stay that way, Hohman said in an email to Michigan Capitol Confidential.

Roads are currently projected to deteriorate faster than they can be fixed. One reason is the lack of a long-term funding plan agreement between Whitmer and legislators.

Hohman told CapCon that state road funding increased from $2.0 billion in fiscal year 2010-11 to $3.6 billion in fiscal year 2018-19, a 62% increase when adjusted for inflation.

“Since Whitmer’s been governor, inflation-adjusted road funding has declined by 3.2%,” added Hohman. Whitmer first took office in January 2019.

Whitmer’s plan to borrow money for road improvements is a temporary fix with long-term debt, Hohman said. Borrowing provides short-term improvements but brings long-term expenses, he added.

CapCon reported in 2021 that the governor borrowed $800 million for road repairs. The loan will generate $565 million in interest expenses, which will be added to the principal of $800 million.

The Legislature and Whitmer are currently working on an agreement for how to increase funding for roads.

CapCon reported in March on the Legislature’s and governor’s funding proposals.