Michigan’s New Road Funding Legislation: Why It Matters

Featuring Lance Binoniemi, VP of Government Affairs | MITA
October 2025 

Ever wonder what impact you made at the Lansing Road Rally on September 3, 2025? In this edition of our Ask the Expert” series, we turn to Lance Binoniemi, Vice President of Government Affairs for the Michigan Infrastructure and Transportation Association (MITA). Lance has spent 25 years at the forefront of Michigans road funding discussions, representing the interests of contractors and workers across the state.

With Michigans new road funding legislation now signed into law, Lance explains what the changes mean for our industry, for Michigan communities, and for the crews who build and maintain the roads we all depend on.


Ask the Expert Series | Featuring Lance Binoniemi, VP of Government Affairs | MITA

The Road Funding Bill Thats Making Headlines

In early October 2025, Michigan lawmakers and the Governor finally agreed on a new road funding package. Few people know that story better than Lance. For nearly 25 years, he has been a leading voice in Lansing, pushing for a long-term fix to Michigans underfunded roads. This new legislation, he explains, is a big win, but not the final fix.”

Why the Lansing Rally Mattered

Back in September, more than 5,000 construction workers and contractors gathered at the State Capitol in Lansing. Wearing orange vests, they met with lawmakers to send a clear message: road funding isnt just about potholes, its about people.

Lawmakers see me every day,” Lance said. But seeing real workers, families, and the size of our industry made a huge impact. It reminded them these are good-paying, skilled jobs that Michigan cant afford to lose.”

That Rally, along with months of pressure from MITA members and partners across the state, helped push the funding deal across the finish line.

Where the Money Comes From

The new budget adds roughly 1.85 billion dollars each year for Michigans roads and bridges. It took compromise and some creative solutions to make that happen.

  • Sales tax swap at the pump: The state removed the 6 percent sales tax on fuel and raised the fuel tax so that every penny collected at the pump now goes toward transportation. For the first time, every dollar drivers pay in fuel tax will actually fix roads,” Lance explained.
  • New marijuana wholesale tax: A 24 percent tax on marijuana sales adds about 420 million dollars each year. It wasnt easy to pass,” Lance said, but its one of the few new revenue streams that both sides could live with.”
  • Corporate tax dollars heading to roads: A share of Michigans corporate tax revenue will now go directly into a new Neighborhood Road Fund, starting at 688 million dollars next year and growing to more than 1 billion annually by 2029.

Where the Money Goes

Unlike earlier proposals, this plan directs a larger share to local roads where most Michiganders drive every day. Our local roads have been hit the hardest,” Lance noted. This package recognizes that. Counties and cities will see the biggest benefit.”

In the first year, more than 700 million dollars will go to local systems: counties, cities, and villages, compared to about 180 million for state highways.

What It Means for the Industry

Lance sees this as a direct win for the people on the ground. This means more projects, steadier schedules, and fewer gaps between jobs,” he said. Crews can plan months ahead. Companies can feel more confident investing in new equipment and keeping skilled workers busy all season.”

Still, the funding doesnt solve everything. Industry studies show Michigan should invest about 4 billion dollars more each year to bring the system up to standard. Were halfway there,” Lance said. This gets us moving in the right direction, but we cant stop pushing.”

Looking Ahead

Beyond the numbers, the package also restores trust by fixing a long-standing problem: gas taxes that didnt actually go to roads. Now, when you fill up your tank, you can know your money is going to infrastructure,” Lance said. Thats a big step forward.”

For M&M crews, it means more local bids, better scheduling, and real pride in seeing the state finally make progress.

Politics is messy,” Lance added, but progress like this keeps our industry moving. Michigans roads will be better for it, and so will the people who build them.”

Michigan’s New Road Funding Legislation: Why It Matters

Featuring Lance Binoniemi, VP of Government Affairs | MITA
October 2025 

Ever wonder what impact you made at the Lansing Road Rally on September 3, 2025? In this edition of our Ask the Expert” series, we turn to Lance Binoniemi, Vice President of Government Affairs for the Michigan Infrastructure and Transportation Association (MITA). Lance has spent 25 years at the forefront of Michigans road funding discussions, representing the interests of contractors and workers across the state.

With Michigans new road funding legislation now signed into law, Lance explains what the changes mean for our industry, for Michigan communities, and for the crews who build and maintain the roads we all depend on.


Ask the Expert Series | Featuring Lance Binoniemi, VP of Government Affairs | MITA

The Road Funding Bill Thats Making Headlines

In early October 2025, Michigan lawmakers and the Governor finally agreed on a new road funding package. Few people know that story better than Lance. For nearly 25 years, he has been a leading voice in Lansing, pushing for a long-term fix to Michigans underfunded roads. This new legislation, he explains, is a big win, but not the final fix.”

Why the Lansing Rally Mattered

Back in September, more than 5,000 construction workers and contractors gathered at the State Capitol in Lansing. Wearing orange vests, they met with lawmakers to send a clear message: road funding isnt just about potholes, its about people.

Lawmakers see me every day,” Lance said. But seeing real workers, families, and the size of our industry made a huge impact. It reminded them these are good-paying, skilled jobs that Michigan cant afford to lose.”

That Rally, along with months of pressure from MITA members and partners across the state, helped push the funding deal across the finish line.

Where the Money Comes From

The new budget adds roughly 1.85 billion dollars each year for Michigans roads and bridges. It took compromise and some creative solutions to make that happen.

  • Sales tax swap at the pump: The state removed the 6 percent sales tax on fuel and raised the fuel tax so that every penny collected at the pump now goes toward transportation. For the first time, every dollar drivers pay in fuel tax will actually fix roads,” Lance explained.
  • New marijuana wholesale tax: A 24 percent tax on marijuana sales adds about 420 million dollars each year. It wasnt easy to pass,” Lance said, but its one of the few new revenue streams that both sides could live with.”
  • Corporate tax dollars heading to roads: A share of Michigans corporate tax revenue will now go directly into a new Neighborhood Road Fund, starting at 688 million dollars next year and growing to more than 1 billion annually by 2029.

Where the Money Goes

Unlike earlier proposals, this plan directs a larger share to local roads where most Michiganders drive every day. Our local roads have been hit the hardest,” Lance noted. This package recognizes that. Counties and cities will see the biggest benefit.”

In the first year, more than 700 million dollars will go to local systems: counties, cities, and villages, compared to about 180 million for state highways.

What It Means for the Industry

Lance sees this as a direct win for the people on the ground. This means more projects, steadier schedules, and fewer gaps between jobs,” he said. Crews can plan months ahead. Companies can feel more confident investing in new equipment and keeping skilled workers busy all season.”

Still, the funding doesnt solve everything. Industry studies show Michigan should invest about 4 billion dollars more each year to bring the system up to standard. Were halfway there,” Lance said. This gets us moving in the right direction, but we cant stop pushing.”

Looking Ahead

Beyond the numbers, the package also restores trust by fixing a long-standing problem: gas taxes that didnt actually go to roads. Now, when you fill up your tank, you can know your money is going to infrastructure,” Lance said. Thats a big step forward.”

For M&M crews, it means more local bids, better scheduling, and real pride in seeing the state finally make progress.

Politics is messy,” Lance added, but progress like this keeps our industry moving. Michigans roads will be better for it, and so will the people who build them.”

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