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Road usage charges

A drone photo of M-32 in Alpena County.
Department of Transportation

Road usage charges

In early 2026 MDOT will continue to study and eventually pilot the potential of transitioning Michigan’s primary road funding formula to a road user charge (RUC) instead of gas tax. MDOT began studying the perceptions and impacts of RUC on Michigan residents in 2024 and published findings in the fall of 2025.

Public Act 22 of 2025, Article 15, Part 2, Section 1005 directs MDOT to begin a RUC study and pilot program, including the development of a technical advisory committee (TAC). The public act authorizes the creation of the TAC and defines its purpose “…to guide the development and evaluation of a road usage charge study and pilot program to assess the potential and positive and negative findings for mileage-based revenue collection for this state’s roads and highways as an alternative to the fuel tax system.”

Studying road usage charges Video

Studying road usage charges

MDOT is studying possible changes to how our transportation infrastructure is funded. As we move toward a low-emission future with electric vehicles and new types of fuels, we need to explore fairer, more sustainable ways to continue to fund and maintain our roads, bridges and public transit systems. 

This study explores road usage charges, which means that instead of paying state fuel taxes, you would pay a few cents for each mile you drive.

Michigan RUC survey results

Technical Advisory Committee

Frequently Asked Questions (FAQs)