The 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 provision of the bill mandates that from the 2025-2026 fiscal year through the 2029-2030 fiscal year, $100 million annually from the fund will be allocated specifically for the repair of closed, restricted, and critical bridges, as determined by the local bridge advisory board.

Additionally, the bill outlines the distribution of the remaining funds to road agencies, categorized into county road commissions and city/village road agencies, based on their respective mileage. Each county road commission will receive a base amount of $100,000, with the remainder allocated proportionally based on mileage. Importantly, local units of government or county road commissions will not be required to provide matching funds to access these distributions, ensuring that the funds are utilized solely for the preservation and maintenance of local road systems.

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