Lansing — Gov. Rick Snyder wants water customers across Michigan to pay a $5 annual fee to help upgrade aging infrastructure and replace lead pipes in their local communities.
The Republican governor on Thursday proposed a state water fee — a de facto tax for public water customers — that would begin at $1 in 2020 and ramp up to $5 by 2024. When fully implemented, the plan would generate an estimated $110 million a year through 2040, when the fee would end.
“Critical updates are necessary to rebuild our state’s failing water infrastructure,” Snyder said in a statement. “Investing in our state’s water infrastructure needs is essential to ensure every Michigander has access to safe drinking water, protect our environment and continue our state’s outstanding economic growth.”
Under the plan, which will require approval in the GOP-led Legislature, the state would award $75 million a year in grants and forgivable loans to help communities replace lead service lines and fund other infrastructure projects.