In November, the Senate passed a responsible road funding plan that raises new money to fix roads. During the first week of lame duck session, the House passed a plan that cut hundreds of millions of dollars annually from the School Aid Fund. The House plan would eliminate the sales tax on fuel, which currently goes into the School Aid Fund, in favor of a wholesale gas tax that would go exclusively to the Michigan Transportation Fund.
On Thursday the House passed a damaging road funding plan that would effectively shift money away from schools and local governments to pay for road repairs at a massive cost to the School Aid Fund (see the chart below for the year-by-year impact). The Senate had already taken the tough vote earlier in the year to pass a road funding plan that actually raised new revenue to pay for road repairs, so it is unclear whether the House's plan has a chance.
Please see the information below that was originally published in the December 4, 2014 edition of Spotlight on Student Assessment and Accountability from MDE.