Home > News Room > Press Releases > Road funding solution cannot come at the expense of revenue sharing to Michigans communities

While we recognize the importance of fixing Michigan’s roads, any viable solution cannot be the result of using existing funds designated for our local communities. Townships are limited to two main sources for funding essential local services: property taxes and revenue sharing. For decades, the state has decimated statutory revenue sharing to local governments. The latest roads proposal now sets its sights on constitutional revenue sharing payments by altering its sales tax source—further eroding the funding guaranteed in our state’s constitution and subjecting it annually to wholly uncertain budget negotiations and future legislatures. This momentous shift in funding would have far-reaching, unpredictable impacts on local governments’ ability to serve their residents. MTA urges the Legislature to ensure that any plan to improve road funding protects the critical funding on which communities depend.