LANSING, Mich. (WXYZ) — There’s a new proposal out of Lansing that could help small business owners recoup lost revenue from construction projects by creating a “Highway Construction Company Loss Reimbursement Program.”
Shaina Allen is the owner of Scooter’s Coffee in Sterling Heights. During the summer and fall, his business took a hit when Van Dyke Freeway was closed between 18 Mile and M-59.
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“Around July, we had one of our best months, and then they dropped the cones outside our store and started decreasing the number of businesses, you know, 15 to 20 percent every month .” Allen said.
The proposed program could help business owners in a situation similar to Allen’s.
The legislation was introduced by State Senator Sarah Anthony, who represents Michigan’s 21st District.
If the program is approved, it would reimburse small business owners up to $15,000, if they can prove a significant drop in revenue. MDOT sent us a list of examples that have helped businesses, below:
Anthony’s plan would make it the responsibility of the Michigan Department of Transportation to reimburse these companies.
“Ultimately we need to decide how much priority road funding is and how we pay for it. So we’re in active discussion on those conversations, but it’s a very small program that I think would also ensure that as we drive around the roads, that we have neighborhood businesses to support,“said Senator Anthony.
I contacted MDOT, who sent the following statement.
“On every road and bridge project, MDOT officials strive to balance the needs and safety of the contractor and the traveling public while minimizing inconvenience to business owners and their customers. All infrastructure needs to be repaired and rebuilt at some point, and MDOT officials appreciate community leaders and business owners who recognize that they thrive by having their business on a busy commercial corridor. Many of these local officials have invited MDOT engineers and contractors to celebrate with them when a project is completed and a street is reopened, most recently in West Branch, Sandusky and Traverse City, to name a few cities. Beyond that, when rebuilding a state highway passing through a business district or community, MDOT engineers often work closely with local municipalities to arrange for the replacement of their utilities under the highway, to ensure the proper functioning of these public services, thereby reducing the need to demolish the street. later. Replacing utilities takes time and often extends the overall project schedule, but saves future inconvenience.
Anthony says she’s trying to get this bill passed before the end of this year. However, she is prepared to reintroduce the bill next year if necessary.
As for Allen, she says she doesn’t know if creating this program is the right decision or not.
“That’s such a difficult question, isn’t it? Because it’s not necessarily MDOT’s fault, it’s not necessarily our fault. Yes, it would absolutely be beneficial to get some of that money back or back to us, but I don’t know if I can answer that question yes or no, just because there are so many moving pieces,” Allen said.
You can view the bill in its entirety on this link.
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