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Public Transportation Program impacts

The following table displays the economic benefits of the $5.4 billion investment allocated for Michigan’s Public Transportation Program for FY 2026-2030. This includes federal, state and local operating revenues, as well as federal and state capital invested in intercity bus services, local bus operations and capital costs covered through apportionments to urban areas from FTA. As a result of these investments, an annual average of 25,088 jobs will be supported, generating $671 million in added labor income annually. Additionally, the investment contributes more than $1.7 billion annually in increased business output/sales and $899 million annually to the GRP.

 

 

2026

2027

2028

2029

2030

Total

Annual Average

Investment (millions $)

$1,047

$1,062

$1,084

$1,107

$1,130

$5,430

$1,086

Employment impact (jobs)

25,906

25,412

25,056 24,704 24,360 125,438* 25,088

Gross regional product (millions $)

$910

$901

$898

$894

$891

$4,494

$899

Labor income (millions $)

$706

$635

$694

$690

$628

$3,353

$671

Business output/sales (millions $) $1,751 $1,735 $1,730 $1,725 $1,720 $8,660 $1,732

*Total Employment Impact refers to cumulative job-years supported by FY 2026-2030 Transit Program

**Labor income is comprised of the sum of salaries, wages, proprietors’ income, and employer-paid benefits.

***Business Output/Sales is final sales, or total revenues, by industry. Depending on the industry, sales can be to any combination of other businesses, households, or the federal/state/local government, as defined by TREDIS.

Rail

Michigan’s rail system has approximately 3,600 miles of track operated by 30 railroads and carries nearly 17 percent of the state’s freight tonnage. As funding permits, MDOT works with the Michigan Economic Development Corp. (MEDC), as well as the Michigan Department of Agriculture and Rural Development (MDARD), to provide support to the state’s businesses that need rail, most directly through the preservation of the freight-rail corridors owned by the state and by helping provide access to the system through the Freight Economic Development Program.

Aeronautics Program impacts

Access to convenient and efficient air travel is essential to maintaining a competitive advantage in a global economic environment. While commercial airline services are often the most recognizable facet of aviation, general aviation accounts for 97 percent of the nation’s airports. These airports support a variety of aviation activities, employing thousands of people and creating millions of dollars in economic impacts. Businesses throughout the state depend on airports for the movement of goods and personnel. Benefits associated with airports include direct and indirect jobs, wages, and expenditures, as well as the economic ripple effects in the community, enhancing economic activities far from the airport itself. In a state like Michigan, airports serve a vital role in supporting rural communities, particularly in the Upper Peninsula.