MI Future Mobility Plan, Pillar 3: Lead the World in Mobility and Electrification Policy and Innovation
The MI Future Mobility Plan is designed to grow Michigan’s mobility leadership, and complement the state’s economic development, workforce, energy, and infrastructure priorities. This is a cross-departmental plan that will enhance communities across the state through responsive policies and dynamic programming that prepares Michigan for the future.
Goal A: Maintain #1 state ranking for mobility and electrification research and development spend.
R&D-Driven Initiatives
- Enable University Centers of Excellence for Battery Innovation and Responsible AI: Support the development of the University of Michigan’s Electric Vehicle Center and Battery Lab, and partner on associated courses, curriculum, lab access, and work environments that develops talent in the EV/battery/charging fields. A multi-university partnership should also be established to apply responsible AI that improves local transportation and logistics networks. Selected universities would work together to develop AI algorithms meant to improve global infrastructure starting in Michigan and evolve batteries to achieve faster charging, charge rate parity, and new recycling technologies.
- Develop Systems and Policies focused on Battery Innovation and Reuse: Incentivize firms to develop the technology, applications, and refining processes of used raw materials. Target geographical proximity to battery innovation, manufacturing concentrations. Make Michigan as competitive as possible for federal grants.
- Create Testing Site Access for Emerging Companies: The more a company tests in a region, the more likely that a company will invest and create jobs regionally. Bolster grant programs like the OFME testing site grant program, as well as providing more custom data packages to AV and EV companies if they use Michigan testing sites and public roads over those in peer regions. Improve MDOT capacity for scaling advanced mobility pilots and studies, such as MDOT’s Work Zone Safety Program and the MDOT-OFME Beyond Visual Line-of-Sight Digital Drone Skyway project.
- Develop More Multimodal, Multi-Dimensional Mobility Programming: Develop feasibility studies, and strategic programming to support air, maritime, rail, defense, and off-road vehicle innovation. Improve coordination between key state agencies: OFME, MDOT aviation/rail teams, and DNR/MEDC outdoor recreation offices.
Goal B: Become a top 10 state for growth in venture capital funding by 2026.
Risk Capital-Generating Initiatives
- Create More New Risk Capital Tools: Attract new risk capital to the state and support local startups by co-developing new funds, like the MI New Economy Startup Resiliency Fund. Design tools within MEDC to attract out-of-market venture funds that complement the local ecosystem.
- Create Policies that spur Mobility Innovation Hubs, “Startup Assembly Lines”: Help emerging companies, including those building in the electric, shared, autonomous and connected vehicle space, scale locally. These hubs would facilitate access to capital and close critical funding gaps, supporting companies as they scale. The Michigan Central Innovation District partnership between Ford, the state, and the City of Detroit, and the Detroit Regional Partnerships GEM program can be models for other hubs. This includes partnering with best-in-class global tech accelerators to grow next-generation technology companies locally.
Goal C: Become a top 10 state for federal investments related to mobility and vehicle electrification.
Federal Fund-Generating Initiatives
- Maximize Federal Tools to Develop Future Mobility Technologies in Michigan: Position the state to maximize funds received from the Infrastructure Investment and Jobs Act (IIJA) and Inflation and Reduction Act (IRA). Also position Michigan for any testing/validation grants as well as a National Lab. Work towards funding for across multiple federal agencies. Including but not limited to Army RDT&E Appropriations Requests, DOT CMAQ funding for state clean vehicle initiatives, Federal Highway Administration (FHWA) Congestion Mitigation and Air Quality (CMAQ) funding, DOT Clean Corridors Program funding, EPA DERA funding, and National Science Foundation (NSF) AV and Innovation-Based Grants.
- Bolster Systems for Supporting Existing In-State Testing: Generate federal funding for the state to lead battery, AV, and hydrogen R&D consortiums in Michigan. Especially those that integrate the federal government, global partners, universities, and industry. Specifically, create new funding opportunities at DOE for state-supported R&D and testing facilities partnering with charging station manufacturers to develop, next-gen EVSE, carbon capture technologies, and hydrogen infrastructure/vehicle development (to hit state 2050 carbon neutrality goal).
- Expand Effective In-State Innovation-Based Programs: Authorize/Increase federal funding for the DOE Clean Cities alternative fuel deployment program ($60M), the US EPA Diesel Emission Reduction Act Grants ($100M). Push to expand and extend 30C and 30D tax credits to include permitting and inspection fees, in-home and multi-unit dwelling charger installations, and to include new vehicle purchases through 2030.
- Leverage Global Partnerships to Attract New State Investment: Target collaboration on standards at key trading points, for example the Detroit and Windsor-Essex corridor. Look at critical areas such as the EV battery supply chain.
Goal D: Lead the nation in electric and automated vehicle friendliness through responsive policies.
- Enhance the R&D Tax Credit: Be more inclusive with items that qualify. Target mobility, electrification, robotics and software. Work with legislature to develop sustainable tools to incent companies to invest in R&D jobs.
- EV and AV Revenue Modeling Systems: Establish leadership in understanding the affect of transitioning to EVs on current transportation revenue sources (gas tax, registrations) and alternative future infrastructure financing.
- National AV and Smart Infrastructure Policy Leadership for On-Road and Off-Road Vehicles: Work for state and national AV policies. Examples include passing the Mobility Futures initiative, permitting operations of automated delivery devices, and developing systems for sharing of real-time construction zone data. This includes cleaning up language, definitions, and taxonomy in PA 332 of 2016 (Michigan Vehicle Code). And eliminate or extend the sunset on the prohibition of local regulations of automated motor vehicle networks.
- Prioritize Mobility-Based Partnerships with Other States: Create similar partnerships to the REV Midwest coalition to build up infrastructure along key interstate commercial corridors. Leverage state relationships to develop federal policy recommendations that create favorable regulatory environments for industry growth.
- Set Clear Clean Energy Standards Effecting Michigan Mobility Companies: Push for the adoption of a clean fuels standards policy. Government can accelerate reduction of electricity (i.e., fuel) costs and emissions across the U.S. with increased clean energy and renewables deployment incentives. This includes funding for load management and innovative V2G programs.
Continue Reading
Read about Pillar 1 and Pillar 2 next by clicking on each icon below.
