to Foster Thriving Communities
LANSING, MI – The Michigan Municipal League released its legislative priorities for the 2025-26 session as members from communities across the state gathered at an event in Lansing Tuesday.
The document details eight policies that local government leaders have identified as necessary to foster thriving communities in Michigan.
“The League’s 2025-26 legislative priorities underscore our commitment to addressing the most critical issues facing local governments today and creating communities where residents and businesses thrive,” said State and Federal Affairs Director John LaMacchia. “From improving neighborhood roads to protecting revenue sharing that help cities and villages provide core services, these priorities are needed steps toward creating thriving communities throughout Michigan.”
Key components the League’s legislative priorities include:
Creation of a Revenue Sharing Trust Fund
The League emphasizes the urgent need for a stable and predictable funding source for local governments. The proposed Revenue Sharing Trust Fund will allocate a percentage of the state sales tax to statutory revenue sharing and place it in a dedicated trust fund that will protect the provision of essential services like public safety, water and sewage infrastructure, and recreational opportunities. This initiative has previously received broad bipartisan support for its efforts to support local services and community growth.
Establishment of a Neighborhood Roads Fund
While Michigan has invested billions of dollars to improve state roads in recent years, local road improvements have lagged far behind. The League is proposing to address the growing wear on Michigan’s neighborhood streets through the creation of a Neighborhood Roads Fund financed by a modest 50-cent Retail Delivery Fee. This dedicated funding stream is expected to generate approximately $275 million annually for neighborhood roads. By focusing on neighborhood streets, the initiative aims to address the concerns every resident sees outside their front door.
Continued Funding for the Revitalization and Placemaking (RAP) Program
Building on the success of previous years, the League calls for ongoing investment in the Revitalization and Placemaking (RAP) Program. This initiative provides resources for projects that promote population and tax growth, invest in new housing options, and enable business creation. By allocating $50 million annually from corporate income tax revenue, the RAP program will continue to create vibrant spaces that help attract and retain residents and support Michigan’s growth efforts. Other policy priorities the League will focus on this year include:
- Addressing the interaction between Headlee and Proposal A
- Implementing an Employer Housing Tax Credit
- Protecting locals’ ability to regulate short-term rentals
- Enacting the Michigan Mobility Trust Fund
- Codifying the process for implementing a stormwater utility
The League invites lawmakers, community leaders, and residents to learn more about these policy initiatives and support our efforts to foster thriving communities in Michigan. More information about the League’s 2025-26 legislative priorities is available at mml.org/advocacy.
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About the Michigan Municipal League
Michigan Municipal League is dedicated to making Michigan’s communities better by thoughtfully innovating programs, energetically connecting ideas and people, actively serving members with resources and services, and passionately inspiring positive change for Michigan’s greatest centers of potential: its communities. The League advocates on behalf of its member communities in Lansing, Washington, D.C., and the courts; provides educational opportunities for elected and appointed municipal officials; and assists municipal leaders in administering services to their communities through League programs and services. Learn more at mml.org.
