Ypsilanti Township, Mich. (Michigan News Source) — An artificial intelligence (AI) lab backed by the University of Michigan (UM) and Los Alamos National Laboratory just ran into a very human obstacle: local politics.

State Rep. Jimmie Wilson Jr. (D-Ypsilanti) introduced legislation on Dec. 11 to rescind $100 million in state funding previously approved for a UM–Los Alamos supercomputing and AI facility. Wilson says the university changed course after securing the money, leaving local officials sidelined.

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The funding, approved last year through the state’s Strategic Site Readiness Program, has not yet been released. UM has not finalized a site for the project, a key step required before the Michigan Economic Development Corp. can execute a grant agreement.

Wilson accuses UM of a “bait and switch,” arguing the project expanded beyond its original footprint in Ypsilanti Township and overstated the number of local jobs it would create. 

“U of M has shown us they … have acted in bad faith and become a poor fiduciary sponsor of taxpayer funds, and actions have consequences,” Wilson said.

UM disputes that claim, saying site options remain under review and that most of the funding would be matched by university and federal dollars.

The proposal now heads to a Republican-led House, where skepticism of large incentive deals is already high.