President and CEO Rich Studley said Friday that legislators should first act to put a plan in place before turning to voters.
A proposal introduced in the Michigan Senate would amend the state Constitution to raise the 6 percent sales tax to 8 percent and eliminate state fuel taxes.
Studley said the ballot proposal would delay action.
The state Chamber of Commerce plans to push a plan funded primarily by user fees such as shifting the gas tax to a percentage of the wholesale price of fuel and raising vehicle registration fees.
Raising more money for roads is one of the business group's top priorities this year.