LANSING — A bipartisan group of Michigan lawmakers have introduced a proposal to ban political donations by utility providers, saying that the money works against the interests of Michigan consumers.
“This is not a partisan issue. This is an issue for the people,” said Rep. James DeSana, (R) District 29, Carleton. “The people should decide our elections, not corporate interests, not our state regulated monopolies.”
Lawmakers say utility providers are in a unique position and should be held to higher scrutiny for their political activities.
“Many of us who are part of the oversight process are currently able to receive campaign contributions from those utilities,” said Rep. Natalie Price, (D) District 6, Berkley.
According to Bridge Michigan, organizations linked to utility providers donated to 120 out of 148 state lawmakers last term.
Both Consumers and DTE have requested and received rate hikes from regulators multiple times in recent years, increasing revenue by tens of millions with each ask.
“They are providing a service to us, but in return, the public, all of us are guaranteeing them a rate of return on their profits. No other business enjoys this kind of luxury,” said Bob Allison, deputy director of the League of Conservation Voters.
The proposals — House Bills 4381-4384 — come weeks after a devastating ice storm that left thousands of people in northern Michigan without power.
Both Consumers and DTE say that their involvement in the political process is driven by voluntary employee contributions, not service revenue.
“We conduct our business with a keen focus on compliance and transparency, and that includes our participation in the legislative and political process,” said Katie Carey, spokesperson for Consumers Energy. “Participation in the PAC is voluntary and gives employees a voice in the political process, and all PAC contributions are publicly disclosed.”
Still, advocates say the companies’ spending looms large over Michigan politics.
In 2022, the most recent year with complete data, Consumers’ political nonprofit spent more than $4 million. And according to the Energy and Policy Institute, the organization had more than $12 million on hand as of 2023, potentially stifling those who may work against the utilities’ interests.
“We want to be able to be able to clearly communicate to all of our constituents that it’s a fair game and that when we’re making decisions about oversight on our utilities, that they are not being influenced by campaign dollars,” Price said.