News Story

State taxpayers fund local infrastructure projects

Eight local governments get a piece of 2025 budget

Eight local governments will receive a total of $13.55 million from Michigan taxpayers for infrastructure improvements.

Local governments are generally responsible for infrastructure in their own jurisdiction. But the 2025 state budget will have taxpayers from throughout the state bail out local authorities with money to fix a bridge, replace a water main, and maintain water and road infrastructure.

If a local government does not have enough money for a project, it will submit a bond proposal or ask the state for a handout.

The 2025 state budget includes a record-breaking amount of pork. Cities, townships and nonprofit organizations won a chunk of $1 billion from state taxpayers. Decisions to make these outlays were made late in the budgeting process without the standard vetting used to ensure the funding is needed and accountability guardrails are in place.

“Are these projects that give taxpayers the best bang for their buck?” asked James Hohman, fiscal policy director at the Mackinac Center for Public Policy. Lawmakers do not seem to care, Hohman said, noting that this is the problem with earmarks.

“Legislators direct them to the highest political needs rather than for the project that benefits the public most,” Hohman told Michigan Capitol Confidential.

Here are some local governments that will receive state funding from taxpayers who live elsewhere:

  • Ypsilanti: $3 million for community infrastructure projects
  • Garden City: $2.5 million for sidewalk improvements
  • New Baltimore: $2 million for a breakwater project
  • Oak Park: $2 million for water and road infrastructure
  • Bay City: $1.6 million for bridge work
  • Clawson City: $1 million for a water main replacement
  • Gross Pointe Shores: $1 million for a sea wall
  • Brooklyn Village: $450,000 for school routes.

Earmarks can be introduced by a simple request from a legislator, and they usually appear at the end of the budget process. The governor, however, can use the line-item veto power to remove earmarks from the budget. One example of the veto in use happened when the governor cut funding for a private firearm range in Bridgeport. Rep. Amos O’Neal, D-Saginaw, who earmarked the $450,000 grant, is a gun club member.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.