After awarding more than $6 million in grants for advanced air mobility (AAM) projects in 2024, the state of Michigan is doubling down on drones, electric air taxis, and self-flying planes.
Last week, Governor Gretchen Whitmer signed an executive directive establishing the Michigan AAM Initiative—a “whole-of-government” strategy to make the state an attractive landing spot for new aviation technology.
Backing the initiative is $4.1 million in fresh grants for projects that “scale Michigan’s AAM capabilities, ensure safe and efficient integration…and position our workforce, manufacturers, and infrastructure as national assets in the deployment of AAM technologies,” Whitmer said Thursday.
“Michigan must play a leading role in building a strong and secure domestic AAM sector by leveraging our manufacturing core, engineering expertise, and statewide infrastructure to build, test, commercialize, and scale next-generation aviation technologies,” the governor added.
Whitmer earlier this year delivered opening remarks for Michigan’s inaugural Uncrewed Triple Challenge, a competition that saw teams use autonomous aircraft to fly a package across the state.
Michigan AAM Initiative
The new initiative represents the state’s bid to cement itself as a hub for aviation innovation. It will involve a variety of agencies, from the state’s Department of Transportation (MDOT) to the Department of Military and Veterans Affairs (DMVA).
While technologies such as electric vertical takeoff and landing (eVTOL) air taxis are likely years away from routine operation, Michigan is embracing them early.
It aims to speed up AAM development, for example, by creating FAA-approved corridors for testing beyond visual line of sight (BVLOS) drone flight. Proposed federal regulations would expand those operations, which are limited to operators with a waiver or exemption.
Whitmer’s order would expand access to the state’s defense assets for AAM testing. It further directs state agencies to explore ways to attract and develop new manufacturers and “transition” existing manufacturers to produce AAM tech.
Outreach is another pillar of the initiative. It directs state educational institutions, for instance, to create or expand programs that teach AAM-specific certifications and skills. Education and engagement programs will aim to increase public acceptance of the aircraft. State agencies are expected to free up space to compete for federal, private, and nonprofit grant funding.
The Michigan Office of Future Mobility and Electrification will take the lead on the project and must provide a progress report to Whitmer by December 31. Partnering state agencies will appoint AAM Initiative leads.
Fresh Funding for AAM Projects
Whitmer said the Michigan AAM Initiative will support pilots in emergency response, healthcare logistics, infrastructure inspection, national security, and supply chains. In conjunction with the governor’s directive, a state fund will invest $4.1 million in four AAM projects.
CVS Health and its partners will receive $1.5 million to test drones for the delivery of specialty medications, making Michigan the first state to back the initiative. The company in 2019 trialed delivery of prescription drugs with UPS but has done little to expand the program.
Another $1 million is slated for the University of Michigan to build a testbed to evaluate autonomous drones, VTOL aircraft, and other AAM innovations in a realistic urban environment. The university plans to build a 40-mile corridor between its campus in Ann Arbor and Detroit, equipped with a drone traffic management system for BVLOS testing. An iron bird test rig will allow developers to test electric batteries, motors, and other components on the ground before putting them through real-world paces.
About $950,000 is allocated to Traverse Connect, the economic developer for Michigan’s Grand Traverse region, to implement drones for the delivery of medical supplies, lab samples, and equipment across a network of healthcare clinics. The remaining funding is for an auto dealer, which plans to demonstrate drone delivery of automotive parts.
The statewide initiative and funding come amid the emergence of AAM as a strategic national priority. Two White House executive orders in June, for example, aim to open the floodgates for domestic drone production and operations. They also established an eVTOL integration pilot program (eIPP) to study air taxi and other operations.
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