House Bill 5789 would require that certain state-funded projects use covered construction materials—cement, concrete, and steel—that are produced in the United States. The bill applies to infrastructure, transportation, housing, school, and public facility projects that receive money from the state. For purposes of the bill, materials are treated as U.S.-produced if any non-U.S.-produced components make up less than 5% of the total cost of the material.
The bill also creates a waiver process. A state agency may waive the requirement if compliant materials are unavailable, if using them would raise project costs by more than 25%, or if an emergency requires immediate procurement and compliant materials cannot be obtained in time. Agencies must post waivers on their websites within 30 days. In addition, the Department of Technology, Management, and Budget must provide procurement guidance to executive branch officials and update procurement policies to include a bid preference for projects that commit to using products manufactured in Michigan. The bill would take effect for covered procurements beginning January 1, 2030.
Impact
HB 5789 would add a domestic-content procurement requirement to state-funded projects involving cement, concrete, and steel, affecting state agencies and contractors that bid on or supply materials for those projects. It would also give the Department of Technology, Management, and Budget new guidance and policy-update responsibilities, and it would require public disclosure of waivers. The bill is written to apply only to the extent it does not conflict with other applicable procurement laws, and it would not become operative until 2030.
Sentiment
Based on the bill text and the absence of recorded committee testimony or votes in the provided materials, the overall sentiment appears to be policy-driven and supportive of domestic manufacturing and state procurement preferences, with an emphasis on implementation flexibility. The inclusion of waivers for availability, cost, and emergencies suggests an effort to balance domestic sourcing goals with practical project needs. No recorded roll-call votes or committee debate are available here to show organized opposition or support.
Contention
The main points of contention are likely to be cost, supply availability, and the scope of domestic sourcing requirements. Supporters would likely favor the bill for promoting U.S. manufacturing and potentially Michigan-made products through the bid preference, while opponents or affected contractors may argue that the 25% cost threshold is still too restrictive or that the sourcing rule could delay projects when compliant materials are scarce. The waiver process and delayed effective date appear designed to address those concerns, but they also indicate the areas most likely to generate debate.