This bill amends the 1951 PA 51 to establish a new "neighborhood road fund" within the state treasury, aimed at enhancing the maintenance and preservation of local roads. The state treasurer is tasked with depositing funds into this account, which will not lapse to the general fund at the end of the fiscal year. A significant portion of the fund, specifically $100 million annually from the income tax act, is earmarked for the repair of critical bridges, as determined by the local bridge advisory board. The remaining funds will be allocated to road agencies based on their mileage, with specific distribution formulas for county road commissions and city or village road agencies.

Additionally, the bill stipulates that funds distributed to county road commissions must be used solely for the preservation and maintenance of local road systems, and no matching funds will be required from local governments to access these funds. The definitions of key terms related to road maintenance and the roles of various agencies in administering the fund are also clarified. The enactment of this bill is contingent upon the passage of several other related bills in the 103rd Legislature.

Statutes affected:
Substitute (H-1): 247.651, 247.675
House Introduced Bill: 247.651, 247.675
As Passed by the House: 247.651, 247.675