Michigan voters are weighing whether major utilities, health insurers, and other large state contractors can keep funding the campaigns of the officials that regulate them.
Proposal 2 targets a system critics say has contributed to rising bills, unreliable service, and too little accountability for Michigan residents.
Here's what to know
More Perfect Union (@perfectunion) outlined Proposal 2 in an Oct. 13 Instagram post, saying the measure would block monopoly utilities and companies that get more than $250,000 annually in government contracts from contributing to campaigns connected to the politicians who regulate them. Michigan voters will see the proposal on the November ballot.
Among Michigan's 110 statehouse lawmakers, just 14% of campaign money comes directly from constituents on average, and in 2022 utilities donated to 93% of elected state legislators, according to the video.
More background
Critics highlighted in the post single out DTE and Blue Cross Blue Shield as examples of firms they say have thrived under the existing rules.
The video argues the companies are "able to squeeze out of any regulation that stops them from raising our rates faster than 46 other states over the last 20 years," while residents described long outages and steep utility costs.
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One Michigan resident featured in the video said, "My power stayed out three-and-a-half weeks, almost a month." She later added that her winter bills climbed to $450.
Another resident described a 2023 multi-day outage that spoiled groceries and a year's supply of medication while they were on food stamps. She said, "One month after I finally got one dose of the medication back, Blue Cross Blue Shield sent a letter to my home saying I am no longer qualified for the medication."
More Perfect Union reported that Blue Cross Blue Shield has "repeatedly thwarted attempts to improve health care in the state" through lobbying against proposals to count copays toward deductibles and to simplify prescription medication approvals.
What's being done?
If approved, Proposal 2 could apply to around 900 government contractors, not just DTE or Blue Cross Blue Shield.
One resident featured in the video said, "I do feel like Prop 2 would help even the playing field with corporations and the public and our politicians."
Backers interviewed in the video argue that cutting contractor money out of state campaigns would strengthen oversight of industries tied to dependable power, affordable bills, and medication access for households.
For one Michigan resident interviewed in the post, the ballot question comes down to accountability: "I think Prop 2 is the only way that our politicians will listen to us."
Where can I learn more?
Similar fights in Michigan and other states show how lawmakers are approaching utility and insurance oversight.
• In Michigan, senators advanced a ban on an insurer tactic that raises rates for loyal drivers.
• In Colorado, lawmakers proposed changes to insurer nonrenewals for homeowners facing growing climate risks.
• In Oregon, officials weighed major changes to utility rules aimed at lowering household bills.
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