• Gov. Gretchen Whitmer delivered her eighth and final State of the State address in Lansing Wednesday evening 
  • The term-limited Democrat proposed new spending on literacy, a new affordable housing tax credits and medical debt safeguards
  • Whitmer urged bipartisanship and thanked President Donald Trump for his commitment to Selfridge Air National Guard Base

LANSING — Gov. Gretchen Whitmer delivered her eighth and final State of the State address Wednesday night, calling for action to tackle Michigan’s literacy crisis, create an affordable housing tax credit, limit the impact of medical debt and turn the temperature down on partisan fighting.

In a roughly 50-minute speech, the term-limited Democrat called for bipartisan cooperation, even thanking Republican President Donald Trump for committing to a new fighter mission at Selfridge Air National Guard Base, and reflected on her waning tenure. 

“To the people of Michigan: serving as your governor has been the honor of a lifetime,” Whitmer said during the address to a joint session of the Michigan Legislature, which she capped with a farewell: “Big Gretch, out!”

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The governor also touted state investments in education but acknowledged that Michigan students are falling behind, ranking 44th in the nation for fourth-grade reading on a 2024 assessment. 

“This is a serious problem,” she said. “Our kids deserve better.” 

Here’s what to know about the governor’s big address.

Whitmer urges action on literacy 

Whitmer used her speech to emphasize what she had already said will be her top priority during her final year in office: improving student reading scores and literacy in Michigan schools. 

She called for earlier literacy interventions using “proven methods and extra help” and touted her multi-year effort to expand free access to preschool, saying that children are more likely to have higher literacy rates if reading is taught at earlier ages. 

Despite more money, more staffing and new laws passed by the state Legislature, Michigan K-12 schools have fallen behind.

Students here ranked 44th in the nation for fourth-grade reading on the 2024 National Assessment of Educational Progress. Third-grade reading scores reached a new low on state tests last year too.

Dana Nessel and Jocelyn Benson
Attorney General Dana Nessel and Secretary of State Jocelyn Benson were on hand for Gov. Gretchen Whitmer’s final State of the State address. (Lauren Gibbons/Bridge Michigan).

Those poor scores aren’t “the fault of any one person, party or event,” Whitmer said, calling literacy a “national challenge” that her successor will need to continue grappling with. Boys, she added, also rank lower than girls in reading in every grade. 

“Our economy demands every child possess stronger reading, writing and critical thinking skills than ever before, and yet, we’re not keeping up with top states,” Whitmer said. “But we can. We can close the gender gap and raise the bar for all kids. We can compete, but we must change to win.”

Whitmer proposed new literacy-related spending in the $88 billion executive budget she released earlier this month, which calls for $100 million for a new high-impact tutoring program, $100 million for literacy curriculum and $50 million for teacher training. 

Republicans have signalled a willingness to work with Whitmer on literacy but have also blamed her for the falling test scores. 

“It’s about time,” Senate Minority Leader Aric Nesbitt, R-Porter Township, said in an official response video, accusing Whitmer of “gutting standards” by repealing a 2016 law requiring schools to hold back third graders who test more than a year behind in reading.

Aric Nesbitt

Speaking to reporters after the speech, Nesbitt said Whitmer “struck the right note” on literacy, but failed to acknowledge the administration’s past actions in pushing for change. 

“I’m willing to join with anybody who’s willing to get back to the basics of saying phonics-based science, of reading literacy coaches for our teachers, and then also making sure that there’s tutoring available for those that are behind in schools,” he said. 

State Superintendent Glenn Maleyko called the governor’s enthusiasm for literacy and education “fantastic.” 

“We understand that we have some foundations here…but what we want to do is expand on that,” he said. “If we really want to push the bar, we have to continue to provide those supports.” 

A push for ‘more homes, quicker’ 

In an effort to address housing shortages, Whitmer used her State of the State speech to call for a “new, state-level affordable housing tax credit” that would pair with a federal version to incentivize the construction of housing “for working-class families.”

“Michigan’s the only state in our region without this tool,” she said, referencing a low-income housing tax credit that most other states have adopted. “And once we create one, it unlocks more federal dollars too. We need to get this done because too many workers are being priced out of homeownership.” 

In pitching the tax credit earlier this year, advocates with the Michigan Housing Council said it could cost as much as $42 million but create as many as 2,600 additional residences per year in the state. 

Whitmer also urged the Legislature to “demolish” what she called “nonsensical construction requirements” and streamline zoning, a possible reference to legislation introduced this month by a bipartisan coalition of House lawmakers that has sparked pushback by local governments. 

Lead sponsors, Republican Rep. Joe Aragona of Clinton Township and Democratic Rep. Kristian Grant of Grand Rapids, each said they were appreciative the governor had publicly endorsed their plan and looked forward to continuing work on the legislation. 

“Let’s make it easier to build in-law suites and multifamily homes,” Whitmer said. “Let’s modernize lot sizes, setback rules, and parking requirements. By improving zoning and building codes, we can build more homes quicker, at lower cost.”

Whitmer’s housing push drew praise from Business Leaders for Michigan President and CEO Jeff Donofrio. “States that clear the path move forward — those that don’t, fall behind,” he said in a statement. 

Governor pitches medical debt safeguards

While calling on members of Congress to restore the Affordable Care Act subsidies lawmakers allowed to lapse last year, Whitmer said Michigan can and should do more to lower health care costs for residents. 

She unveiled a suite of new proposals to help those facing medical bills: 

Cap interest rates on medical debt, bar medical debt from showing up on a person’s credit report, ban liens or foreclosures on homes due to medical debt and require hospitals to set up financial assistance programs.

“Being sick or getting hurt shouldn’t also mean going broke,” Whitmer said.

Michigan lawmakers have already been discussing ways to address medical debt. A two-bill package advanced earlier this year by a state Senate committee would limit how and when health care facilities or medical debt providers can recoup costs from patients.

Whitmer also urged lawmakers to help “stabilize Medicaid funding” and protect benefits by creating new taxes on vaping, gambling and digital ads. Hall and other legislative Republicans have already made clear they will not support the $800 million tax proposal.  

A Trump thank you, an LGBTQ defense

Whitmer used her final State of the State address to reflect on her time in office and thank legislative leaders, other key lawmakers, family and the general public. 

“You probably didn’t have this one on your bingo card, but I want to thank President Trump for helping us” bring the fighter mission to Selfridge, she said. 

But the governor also criticized tariffs the president has implemented and appeared to rebuff his threat to block opening of the Gordie Howe International Bridge in Detroit: “For the first time in over a century, a new bridge connecting Michigan to Canada … will open,” she said. 

She also spoke directly to gay and transgender residents in Michigan: “You belong, you matter, and no matter who comes after you, I’ll stand in the way,” Whitmer said. “I’ll always fight for your freedom and safety, and I’ll veto any legislation that diminishes your humanity. I got your back.” 

House Speaker Matt Hall and Lt. Gov. Garlin Gilchrist stood behind Gov. Gretchen Whitmer in her final State of the State address. (Lauren Gibbons/Bridge Michigan)

Whitmer credited House Speaker Matt Hall, R-Richland Township, with working with her on achieving one of her signature goals, a $2 billion deal she called the “biggest bipartisan roads deal in state history.” 

Hall said he appreciated the callout and expressed optimism on working with her this year, noting that he thought several of her priorities could garner Republican support. 

He told reporters he hopes he can make headway with Whitmer on his plan to eliminate state property taxes and lower utility rates, which he is proposing to fund with $4.7 billion in new taxes on select services.

“I thought a lot of the things she said were low-hanging fruit — they were things that were safe and achievable,” Hall said. “I’m challenging the governor: Let’s be more bold than that. Let’s work together on the biggest tax reform in Michigan’s history.” 

Some Dems question Trump comment

Most Democrats were quick to praise Whitmer’s final State of the State speech, with House Minority Leader Ranjeev Puri calling it a “home run.”

“Look, we all know the political environment … that we’re in right now, and the reality is that she’s had an historic tenure in her eight years,” Puri, D-Canton, told Bridge Michigan. “Se did a good job recollecting just the progress she’s made in her eight years, while also talking about some of the things that may be able to get done this calendar year.”

Man headshot
Rep. Dylan Wegela, D-Garden City. (Courtesy image)

Some Democrats including Reps. Dylan Wegela of Garden City and Carrie Rheingans of Ann Arbor were upset Whitmer did little to criticize controversial actions by Trump and US Immigration and Customs Enforcement officials — particularly after recent reports of ICE purchasing a warehouse in Romulus for potential use as a detention center.

“We need to defund, abolish and prosecute ICE, not congratulate the president who commands them and plans to terrorize people right in my district,” Wegela said in a statement.

Puri acknowledged that some of his members, or even other Democrats, may be upset about the lack of negative mention of the president or ICE enforcement, but noted that “the reality is, these things are complicated.”

“There’s sometimes a willingness or a desire for us to wade into every political issue that’s out there, but I think the governor stayed on message about things that are under our purview in the state of Michigan,” he said. “That doesn’t take away from the fact that this is still a priority item for our members.”

Sen. Jim Runestad, a White Lake Republican and chair of the Michigan Republican Party, blasted the speech in a statement shortly after Whitmer’s remarks, saying he did not have “even a glimmer of hope that she will fulfill the promises she made tonight.”

“The past seven years have been a complete and utter disaster under Gov. Whitmer’s leadership, and the only good thing that came from tonight’s speech is that it will be her last,” he said. 

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