Supreme Court Rejects Michigan's Line 5 Sovereign Immunity Claim; Whitmer Declares Energy Emergency

U.S. Supreme Court Denies Michigan Appeal in Pipeline Dispute

The U.S. Supreme Court has declined to hear Michigan's appeal in a federal lawsuit filed by Enbridge Energy over its efforts to shut down the Line 5 oil pipeline beneath the Straits of Mackinac.

The high court's decision makes lower court rulings the final word on whether the state can assert sovereign immunity protection against Enbridge's federal lawsuit. That allows Enbridge to proceed with its suit against Michigan for attempting to use regulatory power to scuttle the pipeline and stop the company's tunnel project under the straits.

"We are disappointed by the Supreme Court's decision not to review this important issue of state sovereignty," said Danny Wimmer, press secretary for Michigan Attorney General Dana Nessel. "We will continue to fight for the people of Michigan on these vital issues concerning the Line 5 pipelines in the Straits."

Attorney General Nessel's office had argued that the Eleventh Amendment protects Michigan from being sued in this case. Federal courts have previously ruled that Enbridge's lawsuit can move forward because it alleges conflicts between Michigan's actions and federal law governing pipeline operations.

A Sixth Circuit panel determined the case does not strip the state of its regulatory authority, but instead seeks to ensure state actions comply with federal law and the U.S. Constitution.

The dispute is part of a broader, years-long legal battle over the future of Line 5, a more than 70-year-old pipeline that runs beneath the Straits of Mackinac, connecting Lake Michigan and Lake Huron.

Governor and pipeline opponents have sought to shut down the pipeline over environmental concerns, including the risk of a spill in the Great Lakes. Enbridge has fought to keep the line operational and is pursuing plans to replace the underwater segment with a tunnel.

Enbridge spokesperson Ryan Duffy stated in an e-mail that "Line 5 is operating in accordance with federal law, interstate commerce regulations, and international treaty obligations." The company says the tunnel will make Line 5 an even safer means of transporting crude oil and natural gas liquids through the region.

Whitmer Declares Energy Emergency to Ease Fuel Costs

In related economic news, Governor Gretchen Whitmer declared a statewide energy emergency Thursday, issuing an executive order that temporarily eases fuel regulations as costs rise due to global instability.

Executive Order 2026-4 suspends certain seasonal fuel requirements in parts of southeast Michigan, allowing gas stations to sell higher vapor pressure gasoline, which is typically cheaper to produce and purchase.

The change aligns Michigan with a temporary waiver issued by the U.S. Environmental Protection Agency and is expected to reduce pump prices by an estimated 10 to 20 cents per gallon. The order applies to eight counties — Wayne, Oakland, Macomb, Washtenaw, Livingston, Monroe, St. Clair and Lenawee — home to roughly 5 million residents, or nearly half the state's population.

Officials said drivers in other parts of Michigan already have access to the less expensive fuel blends.

Whitmer said the move is intended to provide immediate relief as gas prices climb sharply, citing disruptions in global oil markets tied to the ongoing conflict in Iran.

According to the administration, average gas prices in Michigan have risen to about $3.89 per gallon, up roughly 30% from earlier levels and nearing highs last seen in 2023.

While the governor acknowledged state leaders cannot control global energy markets, she said the executive order is one step the state can take to ease pressure on household budgets.

The order also directs consumers to report potential fuel quality issues to the Michigan Department of Agriculture and Rural Development, which oversees fuel standards and enforcement.

Whitmer Orders State to Help Businesses Seek Tariff Refunds

In another economic directive, Governor Gretchen Whitmer directed state agencies to assist Michigan businesses in pursuing refunds from tariffs imposed by the Trump administration that were recently struck down by the U.S. Supreme Court.

Whitmer's executive directive comes after a February Supreme Court ruling that found former President Donald Trump improperly used emergency powers to enact sweeping import tariffs. The decision has opened the door for companies that paid those tariffs to potentially seek refunds, though the process is still being developed at the federal level.

Whitmer's order instructs several state departments — including Agriculture and Rural Development, Labor and Economic Opportunity, Transportation and Treasury — to assess how the tariffs affected Michigan's economy and report their findings within 30 days.

State officials say ensuring access will be especially important for smaller businesses that may lack legal or financial resources to navigate complex claims. The order emphasizes making the process accessible to all eligible importers.

State officials have also linked tariffs to higher consumer costs, estimating the average Michigan family paid about $1,000 more per year due to price increases. Federal officials are still building a system to process refund claims, which could take several weeks once fully operational.

The Supreme Court's review now places the issue at the center of a broader constitutional question: how far courts can go in directing the Legislature to carry out procedural duties. The nine stalled bills address a range of policy areas, including increased public employee health care contributions, expanded retirement options for certain law enforcement personnel, protections for public assistance benefits from debt collection and a proposal allowing Wayne County voters to opt out of state sales tax.

Democrats, led by Senate Majority Leader Winnie Brinks, D-Grand Rapids, maintain that presenting passed bills to the governor is a routine procedural duty, not a policy decision, and should have been completed regardless of the change in leadership.

House Speaker Matt Hall, R-Richland Township, has argued that the new Republican majority is not obligated to complete unfinished administrative steps from a prior Legislature.

The legal battle began in early 2025, when Senate Democrats filed suit. A Court of Claims judge acknowledged the bills should have been sent to Whitmer but declined to compel action, citing limits on judicial involvement in legislative processes. The Michigan Court of Appeals later reversed that stance, ruling the lower court should have ordered the House to transmit the legislation.