Honigman Capitol Report: State of the State

Whitmer Delivers 2025 State of the State

Governor Whitmer delivered her 2025 State of the State Address earlier this week, focusing on collaboration to benefit Michiganders by lowering costs, creating jobs, and achieving results. She outlined comprehensive plans to reduce costs for families, emphasizing tax cuts and housing investments. 

Lowering Costs
The governor highlighted last year’s rollback of the retirement tax and expansion of the Working Families Tax Credit which will save senior households an average of $1,000 and provide 650,000 families with an average tax refund of $3,200 this year. Additionally, a $2 billion investment in housing seeks to build, buy, or fix nearly 11,000 homes, marking the largest housing investment in Michigan history. This initiative is expected to create over 10,000 construction jobs and lower housing costs. Whitmer also addressed energy assistance by expanding the Michigan Energy Assistance Program, which could save 335,000 families hundreds on their utility bills. She called for continued investment in affordable child care to support working parents, emphasizing its importance for family growth and economic development.

Creating Jobs
In terms of job creation and skill development, Whitmer announced an executive directive to increase young men's enrollment in tuition-free educational programs, addressing the current 2:1 enrollment gap favoring women. She encouraged participation in apprenticeships and scholarships through programs like MI Reconnect. Additionally, she discussed protecting thousands of jobs and military families at Selfridge Air National Guard Base, highlighting bipartisan support for the base's strategic importance.

Results
To streamline government and improve outcomes, Whitmer called for bipartisan efforts to simplify permitting and licensing processes, eliminate duplicative exams, and honor out-of-state trade licenses to foster innovation and economic growth. She highlighted the need for a SMART education budget to improve literacy and transparency, ensuring better academic outcomes for students. Whitmer also advocated for restrictions on phone use during class to enhance learning, reduce bullying, and improve student well-being, citing positive data from existing restrictions. Furthermore, she proposed closing a loophole and taxing vapes like cigarettes to protect youth, aligning with practices in 32 other states.

Throughout her address, Governor Whitmer emphasized the importance of working across party lines to simplify processes, improve education, and support Michigan's economy and military families. 

Republican Response
The Republican response was varied. Republican State Sen. Thomas Albert responded by expressing hope for bipartisan action. He criticized the Democrats' centralized government approach, citing issues like unsustainable population trends, inflation, poor infrastructure, and low student test scores. Albert called for solutions such as ending corporate welfare, lowering taxes, reducing government spending, and focusing on essential services. He emphasized fixing roads without incurring debt and improving student outcomes. Albert expressed willingness to collaborate for Michigan's future, noting a recent bipartisan effort as a positive step.

Republican State Rep. Bill G. Schuette expressed skepticism about Governor Whitmer's bipartisan tone, noting a discrepancy between her words and actions over the past six years, particularly regarding rising costs and unfixed roads. Republican State Rep. Bryan Posthumus argued against the need for new taxes to fix roads, highlighting a Republican plan to address road repairs without additional costs, emphasizing priorities like infrastructure, public safety, and education, while suggesting there's enough budget surplus to fix roads and reduce income tax.