Fri Feb 28 06:30:00 UTC 2025: ## Whitmer Renews Call for Michigan Road Funding Solution, Says Businesses Will Share Burden

**Lansing, MI** – Governor Gretchen Whitmer delivered her State of the State address Wednesday, once again emphasizing the urgent need for a long-term solution to Michigan’s crumbling roads. While acknowledging the need for spending cuts, she stressed that new revenue sources are essential, and implied that businesses will need to contribute to the cost of repairs.

Whitmer warned against solely relying on cuts to public services like education and public safety to fund road improvements. She didn’t present specific proposals during the speech, but her office previously floated a plan seeking $1.6 billion in new annual taxes from businesses, including a potential tax on marijuana and digital advertising. This comes as the state faces a projected $3.9 billion funding shortfall for roads, threatening construction jobs.

House Speaker Matt Hall (R) countered that existing revenue could be reallocated to roads without new taxes, potentially by eliminating business tax incentives. However, Senate Majority Leader Winnie Brinks (D) stressed the need for serious discussion about both existing revenue and new revenue streams, expressing concern over past proposals lacking concrete action.

Rep. Alabas Farhat (D) introduced bills aimed at addressing the shortfall, proposing a dedicated portion of the corporate income tax for roads and a tiered tax on digital advertising from large tech companies. These bills attempt to bridge proposals from both Whitmer and Hall.

Despite the ongoing debate, Whitmer reiterated her commitment to finding a bipartisan solution, stating that “we need to act now before a catastrophe strikes.” Her address, however, also covered a range of other topics including proposed changes to the permitting process, addressing the state’s literacy crisis, and advocating for a new fighter mission at Selfridge Air National Guard Base. The governor also highlighted recent collaboration with the Republican-led House on minimum wage and paid sick leave legislation as a demonstration of her willingness to work across the aisle.

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