Michigan Senate Bill SB0692

Michigan 2025-2026 Regular Session

• Introduced: 10/30/25
• Refer: 10/30/25
• Report Pass: 3/12/26
• Refer: 3/12/26
• Report Pass: 3/17/26
• Engrossed: 3/18/26
• Refer: 3/18/26

Caption

Transportation: authorities; reference to the Michigan election law in the regional transit authority act; modify. Amends sec. 10 of 2012 PA 387 (MCL 124.550).

Summary

SB 692 amends section 10 of the Regional Transit Authority Act to update and clarify how a regional transit authority may raise and use revenue. The bill preserves existing revenue sources such as fares, grants, property-related proceeds, assessments, and a motor vehicle registration tax, while refining the process for voter-approved assessments. It requires that any assessment be approved by the authority board and a majority of voters in the public transit region at a November general election, and it specifies the ballot language that must be included, such as the rate, duration, purpose, and whether the proposal is a renewal or a new levy. The bill also adds or reinforces accountability and spending requirements. It requires that at least 85% of revenue raised in each member jurisdiction through an assessment or vehicle registration tax be spent on transit service routes in that same jurisdiction. It further requires an annual asset management plan for vehicles, facilities, and major equipment, and annual reporting to each member jurisdiction on the cost of service and revenue generated, particularly after the first year of a rolling rapid transit system. The bill is tied to SB 691 and would not take effect unless that bill becomes law, and its effective date is delayed until January 1, 2028.

Impact

If enacted, the bill would amend MCL 124.550 in the Regional Transit Authority Act by changing the legal framework for approving and administering transit funding measures. It would affect regional transit authorities, local member jurisdictions, and voters in public transit regions by imposing more detailed ballot disclosure requirements, reinforcing collection and enforcement procedures for assessments, and directing a minimum share of locally raised funds back to service in the jurisdiction where they were raised. It would also create ongoing planning and reporting obligations for transit authorities.

Sentiment

The bill appears to have received generally favorable treatment in the Senate, passing committee 6-0 and then passing the Senate on third reading by a 27-6 vote. That voting pattern suggests broad support for the measure, at least among senators, with no committee opposition recorded in the available materials. The absence of committee transcripts limits insight into detailed debate, but the recorded votes indicate the bill was viewed positively overall.

Contention

The main points of potential contention are the new voter-approval and ballot-disclosure requirements for assessments, the restriction that at least 85% of locally raised funds be spent within the member jurisdiction, and the added reporting and asset-management mandates. These provisions may be seen by supporters as accountability measures and by critics as constraints on regional flexibility or revenue allocation. The bill also depends on the enactment of SB 691 and delays implementation until 2028, indicating it is part of a broader legislative package and not a standalone immediate change.