FUNDING INTRODUCTION

Our Infrastructure is an Investment
Every day Michigan motorists take our roads and bridges for granted. Most don't consider the investment it takes to keep these structures in good repair.

Our infrastructure requires continual maintenance and improvement for safety and longevity. The upgrades and upkeep must be funded.

Eaton County Road Commission (ECRC) projects are funded in several ways.

Michigan gas tax and registration fees
Special assessment districts
Economic development funds
Critical Bridge Fund dollars
Surface Transportation (STP) funds
Cost-sharing with townships

STATE FUNDS

Michigan helps fund ECRC functions
The state gas tax is assigned to the Michigan Transportation Fund (MTF), funneling money to the Michigan Department of Transportation (MDOT), county, city and village road agencies. These funds are the main source of operating revenue for ECRC. Today, the state gas tax produces less income than it did a few years ago.

To counter inflation's bite, several states increased their gas tax and charge motorists highway tolls. Unlike other states, Michigan does not use the toll road system. In 1997, Governor John Engler signed legislation raising the gas tax from 15 cents per gallon to 19 cents per gallon. Before the legislation, Michigan had not changed the gas tax since 1984.

Although traffic volume has increased, gas tax revenue has dropped because cars are more fuel-efficient. The result is more wear and tear on the roads and funding shortfalls. Delayed maintenance can lead to irreversible road and bridge deterioration.

SPECIAL ASSESSMENT

Special Assessment Fees Pave Way for Better Roads

Occasionally a special assessment is used for a particular project, such as road paving. This provides property owner contributions from those benefiting from the project.

Special assessment districts are set up in two ways:
Land Owner Petition

Property owners, representing a minimum of 51 percent of the front footage, sign a petition asking for the road to be improved. The Board of County Road Commissioners verifies the need and develops specifications and costs. The board holds hearings to receive public comment and adopt the assessment role.
Township Board Resolution
In the case of a township-initiated project, two public hearings are held. The first determines need and gives property owners an opportunity to petition against the project. Such a discontinuance must be signed by landowners representing at least 51 percent of the front footage along the road in question.

The second hearing is for citizen comment and adopting the assessment role.

 

Funding Roads and
Bridges

1 of 2