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The QLine could get a major state funding boost under new legislation passed by Senate Republicans last week.

Driving the news: A $5 million annual QLine subsidy that expired in September  will be extended until 2039 if the bill is approved by the House and signed by Gov. Gretchen Whitmer.

Why it matters: The money will help the streetcar system remain free to riders — a perk that began when it resumed service in September 2021 after a pandemic shutdown, QLine spokesperson Dan Lijana tells Axios.

State of play: QLine ridership increased over the past year, but is still down from pre-pandemic levels.

Average daily ridership increased from 969 between October 2021 and January 2022 to 2,285 between June and September.

Average daily ridership was 2,620 in the six months before the shutdown.

Between the lines: The extended funding is tucked into a set of rapidly moving bills to benefit the downtown Huntington Place convention center, Crain's reports.

The legislation would authorize the convention center's governing body to enter into public-private deals, authorize new borrowing and lift a spending cap.

The QLine money would come from the state's Convention Facility Development Fund, which receives about $100 million annually from hotel and liquor taxes.

What's next: The proposals — Senate bills 1222 and 1223 — could come before the House this week.

Motor City Transit: Legislation would extend QLine funding

The money would help the streetcar system remain free.

The QLINE in action. Photo: Samuel Robinson/Axios

Public transport

The QLine could get a major state funding boost under new legislation passed by Senate Republicans last week.Driving the news: A $5 million annual QLine subsidy that expired in September will be extended until 2039 if the bill is approved by the House and signed by Gov. Gretchen Whitmer.

News

Mayor Mike Duggan slammed the City Council yesterday when asked about the ongoing debate over the city's paratransit plan. 

Driving the news: The Federal Transit Administration said the city's 70% reduction in paratransit services — due to a City Council vote last month that rejected contracts with a controversial transit company — violates federal law, the Detroit News reports.

"We're dealing with a dysfunctional City Council for the first time in nine years, I've got to get adjusted to that," Duggan told reporters at a press conference for an affordable housing development in Southwest Detroit. "I've been at DDOT every day, we're going through the options, spending time with lawyers."

Why it matters: Duggan's comments are a sharp departure from the rosy picture he typically paints regarding his relationship with City Council.

The alliance was crucial to repairing the city government's image coming out of bankruptcy in 2014 when Duggan took office. Public outbursts in years past had given the city a reputation — unfairly or not — that its elected leaders could not get along.

Between the lines: Duggan said yesterday there's "no explanation" for the council's decision to reject paratransit proposals knowing it put services at risk. 

Reality check: Council members had several public discussions about the paratransit provider's poor track record.

Riders and advocates demanded members turn down the proposed $49.2 million contracts, arguing there's no reason to believe French-based Transdev would improve services that have been reported as inadequate for years.

Transdev has been accused of long delays, sexual misconduct from drivers, skipped rides and difficulties reporting problems.

What they're saying: Detroit's Department of Transportation has an obligation, both directly as a public entity and as a recipient of federal funding, to ensure that ADA paratransit service continues uninterrupted, an FTA administrator wrote in a letter obtained by the News. 

What's next: The city has to now put out another request for paratransit bids, which will take at least three months and potentially open the city to litigation and investigation by the federal government. 

City Council President Mary Sheffield told the News they are considering calling a special session to deal with the fallout from the rejected contract.

The intrigue: Duggan is looking to exercise his executive powers to find a solution later this week, a spokesperson for the mayor tells Axios.

Mayor Mike Duggan calls Detroit City Council "dysfunctional"

The latest in an ongoing debate over the city's paratransit plan.

Mayor Mike Duggan gives an interview after a news conference celebrating the completion of renovated affordable housing units. Photo: Samuel Robinson/Axios

Mayor Mike Duggan slammed the City Council yesterday when asked about the <a class="gtmContentClick" data-vars-link-text="ongoing debate" data-vars-click-url="https://www.axios.com/local/detroit/2022/10/18/advocates-question-detroit-paratransit-contracts" data-vars-content-id="2e5f4e50-156d-497a-83b3-45b72f24e097" data-vars-headline="Mayor Mike Duggan calls Detroit City Council &quot;dysfunctional&quot;" data-vars-event-category="story" data-vars-sub-category="story" data-vars-item="in_content_link" href="https://www.axios.com/local/detroit/2022/10/18/advocates-question-detroit-paratransit-contracts" target="_self">ongoing debate</a> over the city&#x27;s paratransit plan. Driving the news: The Federal Transit Administration said the city&#x27;s 70% reduction in paratransit services — due to a City Council vote last month that rejected contracts with a controversial transit company — violates federal law, the <a class="gtmContentClick" data-vars-link-text="Detroit News" data-vars-click-url="https://www.detroitnews.com/story/news/local/detroit-city/2022/12/05/feds-denounce-detroit-paratransit-plan-say-it-violates-law/69700439007/" data-vars-content-id="2e5f4e50-156d-497a-83b3-45b72f24e097" data-vars-headline="Mayor Mike Duggan calls Detroit City Council &quot;dysfunctional&quot;" data-vars-event-category="story" data-vars-sub-category="story" data-vars-item="in_content_link" href="https://www.detroitnews.com/story/news/local/detroit-city/2022/12/05/feds-denounce-detroit-paratransit-plan-say-it-violates-law/69700439007/" target="_blank">Detroit News</a> reports.

Two recently renovated historic apartments in Southwest Detroit's Hubbard Richard neighborhood are bringing 40 affordable units to the growing community.

Driving the news: Grants from the city and state worth nearly $8 million were used to bring new life to two buildings with 20 units each — the Savannah and Wilshire apartments at 250 and 388 W. Grand Blvd.

The nearly 100-year-old buildings hadn't been updated since the 1990s, officials said.

What they're saying: "Now that investors are back in neighborhoods like the one we stand in today, we'll see rates begin to increase and housing prices begin to skyrocket," Southwest Solutions president Sean de Four said at the opening. "What we want to make sure happens is legacy residents aren't displaced."

"This is the kind of apartment building that in many other cities would have seen the rents explode and longtime residents be pushed out as building owners make more profit," Mayor Mike Duggan said.

Details: The buildings received an upgraded heating and cooling system, new kitchen countertops, appliances and flooring. 

Both will be offered at rates of 60% area median income or below — about $950 for a studio apartment, $1,000 for a one-bedroom and $1,200 for a two-bedroom, officials said.

The rates are locked for the next 50 years. 

Between the lines: Residents like Teresa Riley, a native Detroiter and cosmetologist who was relocated during the renovations, will be able to move back into the building.

"I haven't seen it until now and I'm very excited," Riley said.

Historic apartment buildings get new life

The nearly 100-year-old buildings hadn't been updated since the 1990s.

Savannah Apartments on West Grand Boulevard.

The Savannah Apartments on West Grand Boulevard. Photo: Samuel Robinson/Axios

Two recently renovated historic apartments in Southwest Detroit&#x27;s Hubbard Richard neighborhood are bringing 40 affordable units to the growing community.Driving the news: Grants from the city and state worth nearly $8 million were used to bring new life to two buildings with 20 units each — the Savannah and Wilshire apartments at 250 and 388 W. Grand Blvd.

Business

The path to the presidency will likely run through Michigan.

Driving the news: The Great Lakes State is among those moving up in the Democratic a presidential nominating calendar as formally recommended by the DNC’s Rules and Bylaws Committee.

Why it matters: "We have always said that any road to the White House goes through the heartland and President Biden understands that," Rep. Debbie Dingell (D-Ann Arbor) said in a statement.

Early nominating states, which have been Iowa and New Hampshire for half a century, attract greater attention and high-profile campaign visits.

State of play: South Carolina would replace Iowa to hold the first 2024 primaries on Feb. 6, followed by New Hampshire and Nevada on Feb. 13, Georgia on Feb. 20 and Michigan on Feb. 27.

The committee's recommendation will go before the full DNC for consideration in February.

Between the lines: Michigan's status as an open primary state could complicate things since primaries for both parties must be held on the same day.

The RNC has strict penalties for states that don't follow their already determined primary order for the 2024 election, which would drop Michigan's allocation of delegates to 12 at the national convention.

That didn't stop all but one Republican senator from voting for the proposed change to move the primary up by a month last week.

What they're saying: "We will continue to monitor legislation to move forward our state’s presidential primary as it makes its way through the legislative process," a spokesperson for Gov. Gretchen Whitmer tells Axios. 

House Speaker Jason Wentworth (R-Farwell) says he is open to negotiations, MLive reports. 

DNC recommends Michigan as an early primary state

Michigan

The path to the presidency will likely run through Michigan.Driving the news: The Great Lakes State is among those moving up in the <a class="gtmContentClick" data-vars-link-text="Democratic a presidential nominating calenda" data-vars-click-url="https://www.axios.com/local/detroit/2022/11/30/michigan-chance-move-up-presidential-primary" data-vars-item="in_content_link" href="https://www.axios.com/local/detroit/2022/11/30/michigan-chance-move-up-presidential-primary" target="_self">Democratic a presidential nominating calenda</a>r as formally recommended by the DNC’s Rules and Bylaws Committee.

Politics

Michigan's minimum wage will increase from $9.87 to $10.10 an hour on Jan. 1.

For tipped workers, it increases to $3.84 an hour.

Yes, but: An ongoing legal battle could result in a larger 2023 increase than just 23 cents.

Why it matters: Of 30 states with a minimum wage above the $7.25 federal rate, Michigan is one of only six with its own minimum under $10. 

Catch up fast: This all started in 2018, when petitioners collected enough signatures to put an increase to $12 on the ballot. But state lawmakers who didn't want that found a way to simultaneously prevent the wage increase from getting on the ballot while drastically slowing the wage increase.

To head off the ballot measure, lawmakers preemptively approved an increase to $12 — only to amend the legislation and delay that increase to 2030.

The maneuver was challenged in court as unconstitutional.

The Court of Claims sided with the challenge in July and voided the weakened wage hike. That ruling is now under appeal.

What's next: If the appeal is unsuccessful, the statewide minimum wage would increase next year to $13.03 ($11.73 for tipped employees).

The Court of Appeals is scheduled to hear arguments in the case on Dec. 13.

Minimum wage increase on the way

Illustration of a W2 instead of a bill at a restaurant. 

Michigan&#x27;s minimum wage will increase from $9.87 to $10.10 an hour on Jan. 1.<ul><li>For tipped workers, it increases to $3.84 an hour.</li></ul>

Samuel Robinson

Featured stories

Minimum wage increase on the way

Historic apartment buildings get new life

Mayor Mike Duggan calls Detroit City Council "dysfunctional"

Motor City Transit: Legislation would extend QLine funding

DNC recommends Michigan as an early primary state