Nov. 7, 2025 | This Week in Government: Sheffield Victorious in Detroit, Will Become City’s First Female Mayor

Detroit City Council President Mary Sheffield was elected the city’s next mayor Tuesday evening, making history as the first woman to win the position since Detroit’s official founding 324 years ago.

Sheffield beat out Triumph Church Pastor Solomon Kinloch Jr. with 77% of the vote to Kinloch’s 23% by the time early Wednesday morning when nearly all the city’s precincts had reported voting totals. A massive landslide win for Sheffield seemed apparent from the moment she won a majority in a crowded August primary.

Kinloch conceded the race around 9 p.m., speaking from the Garden Theatre stage with his wife and son. He urged Detroiters not to sit on the sidelines, “despite all the poli-tricks and politics,” and said the city “is in trouble” and “ain’t nothing you can do about it.”

The Michigan Chronicle reported Sheffield spoke to reporters at her campaign’s election night party at the MGM Grand Detroit shortly before going onstage to address supporters, remarking that the historic nature of the win was starting to sink in not long after the Associated Press called the race in her favor.

“I am told, it was the largest margin (of victory) in the history of the city of Detroit,” Sheffield said during the press conference before addressing the larger crowd. “I feel like today was a mandate by our city.”

Sheffield, who held a dominant position in the race well before the August primary, where she cruised to a win over eight other candidates, was congratulated by her soon-to-be predecessor, current Mayor Mike Duggan.

Duggan, who decided against seeking a fourth mayoral term in favor of running for governor as an independent, praised Sheffield in a statement released Tuesday night.

“She ran an outstanding campaign and will do a great job running the City of Detroit,” Duggan said. “Our city’s progress is in very good hands, and I know she and her team will make sure it not only continues, but expands.”

Congratulatory statements continued to roll in from other prominent Democrats around the state – those who weren’t onsite at Sheffield’s victory party, that is, given that reporters spotted notable figures like Sen. Mallory McMorrow of Royal Oak and Abdul El-Sayed, both U.S. Senate candidates, Lt. Gov. Garlin Gilchrist II and Secretary of State Jocelyn Benson, both gubernatorial candidates, and Michigan Supreme Court Justice Kyra Bolden Harris.

Michigan Democratic Party Chair Curtis Hertel was among those cheering Sheffield, issuing a statement saying her mayoralty would mean not only important representation for female Detroiters but for the city writ large under the second Trump administration.

“With her win, thousands of children in Detroit can now see themselves reflected in the city’s leadership in a way they never might have imagined before,” Hertel said in a statement. “With Mayor Sheffield, Detroiters have a passionate public servant fighting for them and their families, especially in the face of Republicans from Lansing to D.C. attacking them at every turn. Mary Sheffield is a fighter, and I know she will stand up for working families and their children every single day as mayor; the city is lucky to have her.”

Gov. Gretchen Whitmer posted her congratulations on X, formerly Twitter, just before midnight.

“Our city is home of one of the greatest comeback stories in the country, defined by hard work and grit. I look forward to working together to build on our incredible progress and keep making our city a great place to live, work, and invest,” she said.

In her remarks to hundreds of supporters gathered in the MGM Detroit ballroom, which the Detroit Free Press reported was packed and glitzy, Sheffield promised not to lose sight of the message that got her there.

“I’ve heard you loud and clear Detroit, throughout this campaign, ‘Don’t forget about the neighborhoods,’ and I tell you we won’t,” she said. “Together, we will invest in every corner of our city.”

An expansion of the Michigan Reconnect program would be codified under legislation reported on Wednesday by Senate appropriators.

Before the Senate Appropriations Committee was SB 232 and SB 233, which would expand the program for those aged 21-24, with a sunset of Sept. 30, 2032.

The Michigan Reconnect program was originally created to attract adults aged 25 or older without a college degree into higher education by providing free access to a skill certificate or degree.

In 2023, the program was expanded to temporarily include those aged 21-24. Similar legislation passed the Senate last session.

Under the bills, the Department of Lifelong Education, Advancement, and Potential would not be required to provide funding for those aged 21-24 unless enough funding is available.

Sen. Sarah Anthony, D-Lansing, the committee chair, said the program has helped more than 65,000 people obtain certificates or degrees since the program’s creation.

Sarah Szurpicki, deputy director of MiLEAP’s Office of Higher Education, outlined the history of the program, adding that the days of being able to obtain a good-paying job after high school are gone. Many higher paying jobs require at least some level of higher education.

About 35,000 applied during the window for which the younger aged individuals could apply, she said, adding about 16,000 ultimately enrolled. So far, more than 1,000 have obtained their certificates or degrees.

“There is that demand among that population,” Szurpicki said. “Lowering the eligibility to 21 will capture young Michiganders who are setting out in their career at a time in their life when they may have more flexibility to go back to school to earn an associate degree.”

Sen. John Cherry, D-Flint, asked about the disparity of gender among those who applied. Szurpicki said looking at that issue is a priority within the department, adding that the department has been trying to strengthen relationships with organizations to draw more people into the programs.

Montcalm Community College President Bradley Barrick said more than 150 students at the college have graduated with certificates so far. About 350 students are currently enrolled in the program, he added.

“These numbers represent more than statistics,” Barrick said. “They represent lives changed, their families strengthened, communities enhanced.”

Barrick called Reconnect a powerful program that helps people improve their stake in their lives.

A Senate Fiscal Agency analysis stated that the program cost $26.5 million during the 2024-25 fiscal year. It was estimated that to make the expansion permanent it could cost another $5 million to $10 million per year.

It is expected that most of the $42 million for the program for fiscal year 2025-26 for those aged 25 and older will be spent.

Both bills were reported by votes of 13-2.

The House now has its own plan to abolish the Michigan Economic Development Corporation after Republicans announced a two-bill package on Wednesday.

Rep. Steve Carra, R-Three Rivers, sponsor of HB 5243, said at a press conference on Wednesday the proven record “of failure” from the MEDC, including the lack of jobs created by the Strategic Outreach and Attractive Reserve Fund, the recent default of Gotion Inc. and Sandisk pulling out of the Mundy Township megasite, it was clear this investment in “corporate giveaways” is not working.

Carra’s bill would amend the Michigan Strategic Fund Act to abolish the MEDC outright.

Bobby Leddy, spokesperson for Gov. Gretchen Whitmer, said in a statement on the bills that at a time when Michigan is landing “record job creating investments,” the state “should keep our foot on the gas, not throw everything into reverse.”

“The Republican plan would put a ‘closed for business’ sign at Michigan’s border with Ohio and Indiana, killing good-paying jobs and shutter small businesses across the state,” Leddy said. “These bills are a waste of time, and they are dead on arrival. The governor has her veto pen ready to prevent these bills from destroying the economy.”

Then-Gov. John Engler created the MEDC in 1999 through an interlocal agreement that moved the state’s economic development efforts outside of state government.

Carra said while there is a mix within the House Republican caucus as to what they want to see from a new economic development approach, they agree on the need to challenge the process used by the MEDC to incentivize economic growth.

“What is abundantly clear is that the MEDC has failed the taxpayers of Michigan,” Carra said. “It has failed our state. It has failed our small businesses, and it is at the expense of the people, the hard-working middle class, and we need to reassess our approach to this, and the way that we do that is to go right at the belly of the beast, abolish the MEDC and look into different routes.”

HB 5244, which would prohibit the Michigan Strategic Fund from contracting with local governments for the purpose of economic development, is sponsored by Rep. Jay DeBoyer, chair of the House Oversight Committee. He said what he views as the “experiment” of the MEDC is over.

“To believe that we can take taxpayers’ dollars, bribe companies to come here, and that is a long-term solution is a fallacy because if they will come here for a check, they will leave here for a check,” DeBoyer, R-Clay Township, said.

DeBoyer also referenced feelings of mistrust toward the MEDC often harbored by communities in which large projects are planned, including the issue on Tuesday where the chief compliance officer faced a sudden contract change, opening up the position for the first time since 2013 (See Gongwer Michigan Report, Nov. 4, 2025).

Both said the ideal economic development plan would be crafting a more lax regulatory environment.

“This probably comes as a surprise for a lot of people, but a burdensome regulatory environment is something that a lot of big corporations actually want in their industries, because the more we regulate their industry, the more it crowds out their small business competition,” Carra said. “So if we lower that regulatory environment, small businesses will be able to compete with the big businesses, and big businesses will not have the burdensome red tape to deal with themselves. Lower taxes for them, lower taxes for everybody, unilateral across the board, and we can see our economy thrive.”

This package is significantly thinner than the plan to abolish the MEDC in the Senate from Sen. Thomas Albert, R-Lowell, which consists of 53 bills that also establish a new bureau as well as lay out plans for brownfield redevelopment and renaissance zones (See Gongwer Michigan Report, Oct. 30, 2025).

Carra said he did not know there were bills in play in the Senate, but that they were able to touch base about it, saying this proved broad support across the Legislature, not just with House Republicans. He said their package is more focused on the abolition and not a process moving forward like Albert’s package.

The bills would focus on moving forward, Carra said, so the deals made by the state now would be still administered by the MSF board.

In working with a quasi-governmental agency, which Gov. Gretchen Whitmer said no one can unilaterally disarm, Carra said, the MEDC can make their own investments as a corporation in the nature of a free market, but that it should not compel taxpayers to fund the projects.

Speaker Matt Hall and Senate Majority Leader Winnie Brinks, as part of the budget proposal, vowed to pass legislation on a new economic development tool after the defunding of the SOAR fund. Carra said he opposes this plan as he just does not believe the government has a tole in driving the economy.

The SOAR fund still holds around $607 million. Carra, when asked what he wants to see done with it, said it should be “returned to the people.”

At the last MSF board meeting, American Axle and Manufacturing in Three Rivers received a State Essential Services Assessment tax exemption of almost $1 million for five years to make facility upgrades at their facility. This plant resides in Carra’s district (See Gongwer Michigan Report, Oct. 28, 2025).

Carra said many of the deals are “foregone conclusions.”

“It’s just how business as usual is and picking winners and losers, so I’m not going to fight against when some of that comes back to my community, just the system in general should not exist,” Carra said.

Danielle Emerson, spokesperson for the MEDC, touted in a statement that the MEDC’s programs and services that trained and placed “more than 5,950 workers and more than 1,480 interns in good-paying jobs; helped more than 2,000 new businesses start up; and helped small businesses secure roughly $2.77 billion in new revenue.”

“Our MBDP program has a more than 80% success rate, as touted by economists, and our Small Business Support Hubs have been lauded for helping everyday citizens access resources to start a business, minimize supply chain cost through peer-to-peer networking and local contracts, and create solutions in real time all at little-to-no-cost to them – all while keeping business dollars here in Michigan,” Emerson said. “That mission and these outcomes remain as important as ever to the MEDC.”

Senators took testimony Wednesday on bills that would lower the state registration fees for electric vehicles and plug-in hybrid electric vehicles, which drew pushback from some committee Democrats.

Current law requires electric vehicles and plug-in hybrid electric vehicles to pay an additional registration fee based on the state gasoline tax on top of traditional registration fee.

For EVs, the additional registration is $5 per cent above 19 cents in gas tax. For plug-in hybrids, $2.50 per cent above 19 cents in gas tax. The bill would lower these fees to $1.88 per cent above 19 cents in gas tax for EVs and 94 cents for each cent above 19 cents for plug-in hybrids.

Sen. Sam Singh, D-East Lansing, told the Senate Appropriations Committee that the proposal stems from recent negotiations as part of the road funding plan that was passed along with the state budget.

For those with EVs or plug-in hybrids, there was no change in statute, and they are paying the per-cent surcharge during road funding negotiations as part of passage of the budget.

“This piece unfortunately did not get the opportunity to move forward, and so what I bring forward today is a discussion on fairness,” Singh said.

For 2026, the gas tax is 52.6 cents per gallon.

A Senate Fiscal Agency analysis showed that under current law this would amount to a $168 additional registration fee for EVs and $84 for plug-in hybrids. Under the bill, the additional fees would fall to $63.17 for EVs and $31.58 for plug-in hybrids.

This would be a $1.5 million reduction in revenue to the Michigan Transportation Fund.

Sen. Rosemary Bayer, D-West Bloomfield, asked why there is still an increase for EVs and hybrids under the bills. Singh reiterated that the key issue is fairness.

“The intent was to make EVs pay their fair share,” Singh said.

Bayer pointed out that even with the proposed changes it is not revenue-neutral for EVs as is the case for gas-powered vehicles under the road funding plan.

Charles Griffith with the Ecology Center was supportive of the bill.

“Without taking this action, Michigan would have the highest EV fee in the whole country,” Griffith said.

The issue of EV fees has been followed by the group since they were included in the previous road funding package a decade ago. He said while the Ecology Center supported EV drivers paying their fair share, there were concerns that those driving EVs might be paying more than those driving similar gas-powered vehicles.

He outlined data showing that for every line of EVs that has a gas-powered counterpart, EV drivers are paying more per year in fees on average.

“We are just simply asking that EV drivers are being held harmless, too,” Griffith said.

Sen. Veronica Klinefelt, D-Eastpointe, said as chair of the Senate Appropriations Transportation Subcommittee, her concern is about the roads. She said Michigan needs to fix its roads, given that other states have been able to put mechanisms in place and more funding to fix theirs.

“Do they have the same wear and tear and are they the same weight?” Klinefelt said.

Griffith said for most smaller vehicles it does not make much difference whether it is an EV or gas-powered, adding it is larger trucks on roads that are creating more wear and tear.

Bills to establish a cryptocurrency bill of rights and making modifications to tipped wage law received testimony Thursday before a House committee.

The crypto “Bill of Rights,” introduced earlier this year by Majority Floor Leader Bryan Posthumus, R-Rockford, is designed to act as a state framework for cryptocurrency users and include guardrails for pension fund investments and a program linking bitcoin mining to orphaned oil and gas well remediation.

Posthumus told the House Economic Competitiveness Committee he has several reasons for spearheading the package, primarily the ease and security he sees in a future where cryptocurrency is used commonly and potentially becomes a legal tender in the U.S.

“I have a fundamental belief that in the near future, whether that’s five,10, or 20 years from now, cryptocurrency and digital assets will be the foundation of the financial world for a lot of reasons,” he said. “Cryptocurrency is substantially more secure than cash, substantially more secure than credit cards, debit cards; our current financial system is less secure outside cryptocurrency than it is inside cryptocurrency. Another reason (is) speed of transactions. If you’ve ever tried to wire money overseas, which I have, that is a mess for me. It took 28 days, and the entirety of that time, none of the banks that I talked to knew where the money was … and that was this century. With cryptocurrency, that transaction can happen in five seconds for a fraction of the cost. So, for a whole lot of reasons, it makes sense that digital assets and cryptocurrency will become the foundation of our financial future.”

Some of Posthumus’s colleagues seemed less enthused about the prospect of a cryptocurrency future, or just unsure of what it would even look like – Rep. Pat Outman, R-Six Lakes, kicked off questions with a resounding “how does this work?” and Rep. Curt VanderWall, R-Ludington, inquired about whether there was any tangible placeholder to determine value for cryptocurrencies.

Consisting of HB 4510, HB 4511, HB 4512, and HB 4513, the bill package is supported by the Michigan Bitcoin Trade Council, Michigan Blockchain Council, and other state crypto groups.

The bills also have the backing of the 501(c)(4) nonprofit Satoshi Action Fund – “dark money, to anyone who’s watching,” Rep. Julie Brixie, D-Okemos, said in committee – which has traversed the country lobbying state legislatures for crypto-friendly regulations and whose current Chief Executive Officer, Dennis Porter, said he drafted an executive order President Donald Trump signed earlier this year to begin stockpiling a national cryptocurrency reserve.

According to the most recently available public tax data for the fund, compiled by ProPublica’s Nonprofit Explorer from 2023, Satoshi Action Fund raised about $326,000 from donors and expended $474,000 that year.

501(c)(4)s do not have a legal obligation to disclose their donors. They also do not have a limit on how much they can donate to super PACs.

Environmental groups, including the Sierra Club of Michigan, Michigan Environmental Council, and Climate Cabinet, expressed opposition to the bills Thursday.

HB 4492, sponsored by Rep. Mike Mueller, R-Linden, would amend the state’s new tipped wage law passed at the beginning of the year to account for employees who are “tipped out” by other employees as part of a tipping pool, most commonly dishwashers or bussers in restaurants who do not receive direct tips like waitstaff but whose employers require tips to be shared among all employees.

The bill would remove requirements in the law which state that an employee retains all the tips they receive and would add that the act’s tipped wage provisions don’t prohibit an employer from requiring employees who receive tips directly to share them with others, as long as the employee receives an amount that makes up the difference between the tipped wage and the regular minimum wage.

Supporters of the bill said it’s essentially a “cleanup” piece of legislation aimed at giving employers the option to make tip pooling compulsory if they so choose.

“It’s an incredibly common practice that a lot of bars and restaurants choose to incentivize employees. An unintended consequence of (the new tipped wage law) was that tip pooling then became voluntary, so essentially, servers and bartenders could decide whether or not they want to be part of the tip pool,” Michigan Restaurant and Lodging Association Vice President of Government Affairs John McNamara told committee members. “This seems something that’s great – however, it creates incredibly terrible administrative situations.

For example, let’s say you’re a server at a higher-end restaurant, you have a big table, a couple-thousand-dollar tab, which means you’re going to probably get 500, 600 bucks in a tip. Let’s say you’re like, ‘You know what, I don’t want to share that tip. I’m out of the tip pool for this instance.’ And then maybe an hour later, you decide, well, no, I want to be part of the tip pool,” McNamara continued. “How does the business owner sort of keep track of people going in and out of a tip pool?”

The committee did not act on any of the bills.