Advocacy News – July 15, 2026
What’s new: The recently passed state budget includes language prohibiting the attorney general’s office from using state funds to sue the federal government or oil and gas companies without specific legislative approval.
Speaker Hall said the provision is intended to clarify the Legislature’s priorities for the attorney general’s office and limit politically motivated litigation. The language, included in the fiscal year 2027 budget, provides that no appropriated funds may be used for those types of lawsuits unless the Legislature separately authorizes and appropriates money for that purpose.
The attorney general’s office could still pursue lawsuits against the federal government or oil and gas companies if the Legislature separately appropriates funding for those actions. Under the budget language approved however, general operating funds appropriated to the department may not be used for those cases without additional legislative authorization.
Why it matters: For the last eight years, the attorney general’s office has pursued an aggressive litigation agenda targeting Michigan’s energy sector, including its prolonged legal campaign against the Line 5 pipeline. The office has also threatened additional energy companies with lawsuits and has gone so far as to solicit outside contingency-fee law firms to pitch entrepreneurial litigation strategies and pursue these cases on the state’s behalf. These actions represent a troubling expansion of government-driven litigation against Michigan employers.
What we’re saying: The Michigan Chamber strongly opposes this approach. Weaponizing litigation against job creators creates unnecessary legal uncertainty, increases the cost of doing business, discourages investment, and further undermines Michigan’s competitiveness as a place to grow and create jobs.
What’s next: The final budget is now before Governor Whitmer for her review and signature.
For questions or more information contact Randy Gross.