COUNTY ROAD ASSOCIATION OF MICHIGAN v. Governor

This case involves the authority of the Governor, exercised in Executive Order No. 2001-9, to reduce the Legislature’s allocation of general sales taxes to the Comprehensive Transportation Fund (CTF) by $12,750,000 for the fiscal year ending September 30, 2002, and to transfer those revenues to the state’s general fund. Appellants claim that the general sales tax revenues allocated to the CTF are “constitutionally dedicated” funds within the meaning of Const 1963, art 9, § 9, and therefore immune to the Governor’s power to balance the budget, Const 1963, art 5, §20.

The Court of Appeals…