The Michigan House of Representatives narrowly defeated a proposal to cut the State income tax early Thursday morning. The process unfolded much like those of us responsible for balancing local government budgets have seen too many times before. Tax cuts were proposed without identifying which expenditures would be cut or how new revenue would be captured to cover the gap. We concur that tax cuts properly executed can improve taxpayer disposable income and have other positive economic effects, however, those cuts which are blind to the impact on state and local budgets and services are ill-advised. We wonder how many Representatives understood that the proposed cuts could significantly impact State Revenue Sharing payments to local governments? Revenue Sharing is the second or third highest revenue source in many local government budgets, paying for law enforcement, fire, jail, courts and many other essential public services.
Rep. Daniela Garcia and Rep. Jim Lilly stood up for making solid, informed decisions. They thought those decisions through to the consequences. Ottawa County very much appreciates and applauds their commonsense approach.
Al Vanderberg, Ottawa County Administrator