It is not too much a deal for the in state part as they already have very good financial aids. It is still good to lower the cost even just a little bit. The interesting point is the $65k income threshold is already above the median income in Michigan. The sad thing is there are much less than half of the in state students are benefited from this. That means most of students from the low income families do not perform well enough to be admitted.
For OOS students, that new need met policy is certainly a big thing.
UMich does use CSS profile but they do not put much weight on it. My D’s EFC still match the FAFSA very much even we have a lot of retirement investment and equity. If you read the article, it mentions some of these calculations. Each school that use profile data in their own calculation. It does not necessarily mean the EFC would be higher. Also, for the $65k income threshold, they give $50k asset protection too.