[zthatzmanz28]

If Snyder and company want to restructure / replace the outdated Proposal A and fund schools with a stable source of revenue that would be great.

[zthatzmanz28]

Originally Posted by magellan

Some kind of new funding mechanism, and we'd have 4 years to do it. Sales tax and gasoline need to be separated, permanently.

Otherwise this argument about having the highest taxes on gas and the worst roads will never end. Fixing a broken tax system is painful but necessary.

That is why we have this combination. The transportation fund has been getting revenue from everywhere BUT transportation sources.

PA 51, the road funding bill of 1951, is so far out of touch with our present system.

We have to restructure our tax system and direct monies that are raised via specific programs back into those programs directly related to the source.

Like when the state was going to close the state parks for lack of money. It wasn't that the parks were not EARNING money, it was being diverted elsewhere.

The problem is NO ONE wants property taxes attached to education and everyone feels education is someone elses problem to pay for.

[magellan]

Tentative deal struck, and it makes sense. Raising the sales tax to 7% won't be that bad. I don't think most people will even notice an additional 1% sales tax (40 cents on a $40 pair of pants). Groceries and prescription meds are already exempt from sales tax so they won't be affected.

One other thing they should add to this is eliminate sales tax when you resell a car as a private citizen. That's just ridiculous.

Michigan road funding: Tentative agreement reached on sales tax ballot proposal | MLive.com

[animatedmartian]

If they are exempting fuel from the sales tax, it actually seems more like a tax cut than a hike. Of course many people aren't going to see it that way.

[magellan]

Originally Posted by animatedmartian

If they are exempting fuel from the sales tax, it actually seems more like a tax cut than a hike. Of course many people aren't going to see it that way.

Exactly. It's going to be a tough sell to get it approved on a May ballot, unless they can come up with a good easy to understand campaign. Even the local paper over here doesn't understand the proposal.

[RockChester]

I'll just say two things about this subject. One is that I've driven Michigan roads for decades and I've never lost a tire or rim. I suspect that bent rims and ruined tires are the result of driving too fast and too aggressively. Two, our biggest problem is that we haven't typically demanded a guarantee on the roads built. The road commissions have started to do this in recent years (I-275 for example) and it's been successful so we should always, always demand that guarantee and stop blaming the winter weather.

[dave w]

Originally Posted by magellan

Nobody chooses where they're going to live based on how much tax they're paying for fuel. I mean seriously, those people cannot and should not be taken seriously.

The Grand Rapids Chamber has made a statement that they support this measure. You know when a chamber of commerce supports a tax increase, it must be for something the business community thinks is worthwhile.

That's your opinion and typical of Snyder country.

[magellan]

Originally Posted by dave w

That's your opinion and typical of Snyder country.

You have never apparently read about my hatred for Snyder. I voted for Schauer.

I think this a good solution. Not perfect, but it accomplishes a great deal. I haven't actually heard anyone say why it's bad, other than "legislators kicked it downfield to the taxpayers." Which I'm not sure why leaving it up to voters is a bad thing.

Why would Democrats be against increased funding for roads, increased funding for schools, increased funding for transit ($110 Million/year), and bringing back the Earned Income Tax Credit? Riddle me that.

[dave w]

There is 130 million in the package for mass transit to appease Detroit Reps.10-20 million to campaign to get the bill passed. Higher car and truck registration fees, 19 cent gas tax dropped for 14.9% gas tax float w/ variables. starts at 42 cents. To get the poor to vote for the proposed bill raise AMT to 20% ,so if your single earning under 10k you might get around $300 credit 2017 year.
So many percentages of ( example,20% goes for this with first 5% of 12% the first year to pay down past debt) what's with that? With 1.7billion business tax that never materialized any more jobs than the tide lifts all boats scenario of cheap interest rates that other states benefited from also. 7% sales tax would put Mi tied for second place with 5 other states for highest tax behind Cal.
I think its to complicated, deceiving and they should work with the total 53 billion dollar budget.

[magellan]

Originally Posted by dave w

There is 130 million in the package for mass transit to appease Detroit Reps.10-20 million to campaign to get the bill passed. Higher car and truck registration fees, 19 cent gas tax dropped for 14.9% gas tax float w/ variables. starts at 42 cents. To get the poor to vote for the proposed bill raise AMT to 20% ,so if your single earning under 10k you might get around $300 credit 2017 year.
So many percentages of ( example,20% goes for this with first 5% of 12% the first year to pay down past debt) what's with that? With 1.7billion business tax that never materialized any more jobs than the tide lifts all boats scenario of cheap interest rates that other states benefited from also. 7% sales tax would put Mi tied for second place with 5 other states for highest tax behind Cal.
I think its to complicated, deceiving and they should work with the total 53 billion dollar budget.

It's not complicated or deceiving, the current system is complicated and deceiving (retail sales tax on gasoline cannot go toward roads due to our state constitution).

We have growing road debt that needs to be paid down because people keep getting into these circular arguments about funding for roads, without solutions. Going on 10 years now. Michigan, if you give us enough time we'll get nothing done.

We might end up being rated near the top for sales tax on a state sales tax, but if you look at any large city in the country, they also tack on county and local level sales taxes (which we don't do here). A 7% sales tax for most people who move here will be a welcome relief.

State and Local Sales Tax Rates in 2014 | Tax Foundation

45 states collect statewide sales taxes.
38 states collect local sales taxes.
The five states with the highest average combined state-local sales tax rates are Tennessee (9.45 percent), Arkansas (9.19 percent), Louisiana (8.89 percent), Washington (8.88 percent), and Oklahoma (8.72 percent).

In addition, a 1% sales tax hike will not hurt low income households. Groceries are already exempt, prescription medicine is exempt.

Your move.