House Works Late Into the Night to Pass Road Funding Plan

After hours of backroom haggling the Michigan House, late Wednesday night, approved a $1.2 billion road funding plan.

It includes a 7.3 cent increase in the diesel tax, a 3.3 cent increase in the gasoline tax, a bump in vehicle registration fees of about $40 per car and taking $600 million from the General Fund.

The plan also calls for expanding the Homestead Property Tax Credit by increasing the household income range.

State Representative Peter Pettalia, who voted for the plan, concedes it’s not perfect but adds now isn’t the time to wait for perfect.

The plan would be phased in over five years meaning the state actually wouldn’t hit the $1.2 billion mark until 2021.

That was troubling to State Representative Jeremy Moss, who voted no.

Moss says waiting that long to fully fund road repair projects is like swapping one pothole for another.

The governor says he’s encouraged by the progress but wants to make sure the plan is fiscally responsible.

The measure now moves to the Michigan Senate, where the Republican leader there says he’s eager to look over the spending plan.