Gov. Gretchen Whitmer says Michigan is at a "crossroads" and must make "bold investments" to turn around roads, schools and provide clean tap water.
The Democrat is proposing her first budget to the Republican-led Legislature Tuesday.
It includes a 45-cents-a-gallon gasoline tax increase and seeks to reverse some tax decisions made by her predecessor. She says people already are paying a "roads tax" because of vehicle repairs caused by potholes and if nothing is done, the roads will get worse.
To offset some of the additional tax burden, she wants to reverse a so-called pension taxed enacted in 2011 and give higher tax breaks to low-income earners.
Gov. Gretchen Whitmer is poised to propose a 45-cents-a-gallon gasoline tax increase to improve Michigan roads and bridges that she says will deteriorate further without a major influx of new spending.
The Democrat will propose her first budget Tuesday at a hearing with lawmakers. She is expected to propose offsetting a portion of the tax hike with targeted relief for certain residents.
If the Republican-led Legislature backs Whitmer's plan — which will be a tough sell — Michigan would have by far the highest fuel taxes in the country.
Whitmer also will outline a $500 million boost in state K-12 spending , including extra funding to teach at-risk, special education, and career and technical students.