(Source: MIRS.news, Published 12/2/24) Proponents of a first-of-its-kind water affordability program in Michigan – funded by a $2 monthly charge on customers – are continuing their support in lame duck with a new version that keeps fee revenue in the region it came from.  

The water affordability bills include SB 552 and HB 5092, SB 553 and HB 5093, SB 554 and HB 5091, SB 551 and HB 5090, SB 550 and HB 5089 and SB 549 and HB 5088.  

A part of the proposal is establishing a "Low-Income Water Affordability Fund," with money coming from $2 monthly retail charges by water utilities for all customers. The state's health department will oversee the fund, which will prioritize homes at or below 200 percent of the federal poverty level. For a family of four, that's $62,400 or less a year. For a two-person family, it's a yearly income of $40,880 or less.  

The money from the fund will be used to keep such families from spending more than 2 to 3 percent, depending on circumstances, of their household income on water utilities, and can be spent on paying off debt or supporting plumbing upgrades.  

After receiving some local government opposition, like from the Michigan Municipal League's 20-member trustees' board, the legislation will be amended to keep money within the region it came from. The regional lines are the same as the Michigan Department of Health and Human Services' (DHHS') business services centers, where Southeast Michigan includes nine different counties, including parts of Macomb, Oakland and Wayne counties.  

Pushing for the bills' passage in lame duck on Monday were Sens. Stephanie Chang (D-Detroit) and John Damoose (R-Harbor Springs), House Majority Floor Leader Abraham Aiyash (D-Hamtramck), Sterling Heights City Councilmember Henry Yanez and Executive Director David LaLumia of the Area Agencies on Aging Association of Michigan. 

"The goal is simple, to ensure that no family has to choose between paying their water bill, keeping the lights and heat on or putting food on the table," said Chang at a press conference. "What we know is that in 2020, over 317,000 Michigan families were behind on their water bills. That's a lot of our friends and neighbors potentially at-risk of losing access to something that's essential for life."  

Chang said the bills need to be passed in lame duck in order "to make sure that we are not in a crisis in a few years."  

 According to a November Public Sector Consultants (PSC) report, a $2 monthly fee on all of Michigan's 2.6 million retail water meters will generate around $63 million annually, allowing about 39 percent of potentially eligible households to be assisted.  

When a household uses 50 gallons of water per person daily, PSC calculated that average monthly bills range from $33 to $174 depending on the family's size. Under the legislation's criteria, there are 371,522 total qualified households, PSC estimates.  

"I think there have been a lot of healthy discussions with members of both caucuses, and I think there's an appetite to get this done before we leave for the new year," Aiyash said.  

Damoose compared the legislation to the present-day Michigan Energy Assistance Program (MEAP), assisting low-income families with electricity bills through a $1 monthly charge that utility providers can opt to use.  

"The bottom line is you have to look at other programs, which were also opposed at first, but that have been very successful, like the MEAP program," Damoose said. "You don't hear a lot of outcry about (MEAP) because the program is actually working."  

Damoose explained he and Chang spent nearly two hours on a Zoom call with Sault Ste. Marie's local leaders in the Upper Peninsula, resulting in the regional amendment.  

"I'm sure there's room for improvements or tweaks as we go along, but I've yet to see anything that's anywhere near as good as this," Damoose said. "We're charged with creating a good environment for our residents, and a good environment is one where people can access the basic needs of life."  

He said he hopes the legislation receives strong bipartisan support, but if not, he's proud to "support it by myself" as a Senate Republican caucus member.  

Another hurdle facing the legislation is Macomb County Public Works Commissioner Candice Miller's consistent opposition to the package. Miller is a popular figure in Macomb County – home to competitive legislative districts. In January, she informed MIRS she believes the majority of the county's legislators will oppose the package.