New Michigan law to divert revenues from driver's license fees to road construction, maintenance; redirection allows state's DOT to match all available federal aid highway funds

GRAIN VALLEY, Missouri , October 13, 2011 () – Help is on the way for getting more work done on Michigan roads. Fortunately for truckers and other drivers, they are not being asked to pay extra to cover the cost.

Instead, Gov. Rick Snyder signed into law a bill that diverts some transportation-related roads for pavement work.

The new law halts a $12 million deposit in road tax money to the state Transportation Economic Development Fund for two years. The fund pays for highway, road and street improvements related to a particular new plant or development.

Instead, the revenue generated from driver’s license fees will be used for road construction and maintenance.

A legislative analysis of HB4748 shows the redirection will not affect total state revenue. The revenue will simply be shifted from one fund to another fund.

In addition, the redirection allows the Michigan Department of Transportation to match all available federal aid highway funds.

* All content is copyrighted by Industry Intelligence, or the original respective author or source. You may not recirculate, redistrubte or publish the analysis and presentation included in the service without Industry Intelligence's prior written consent. Please review our terms of use.