state senate

Michigan Senate votes to phase out industrial tax

Rick Pluta — Fri, 11 May 2012 12:02:31 +0000

The Michigan Senate has voted to phase out an industrial tax that’s a big revenue generator for school districts and local governments. Republicans amended their original plan to make sure much

of that money for local services and education would be replaced.

State Senate Majority Richardville says if money from the state falls below a certain level, communities could return to taxing industrial property.

“It’s kind of a poison pill, as we call it in legislative jargon, where, if we don’t keep our promises than the whole program disappears, so it forces the state government to say we will keep you at the level we say it will,” Richardville says.

Richardville acknowledges there’s no way to guarantee schools and local governments won’t see some reductions. The money for the replacement would come from the sunset of other tax breaks.

Republicans say Michigan’s tax on business and industrial property is unique in the Midwest and drives investment elsewhere.

The Senate rejected efforts by Democrats to link the tax phase-out to job creation targets.

Richardville talks Senate priorities in 2012

Laura Weber — Thu, 12 Jan 2012 11:53:53 +0000

Republican leaders in the state Legislature say they will not be quick to spend any potential surplus money left over from the last budget year. An annual conference to determine how much money the state will have to spend this year is scheduled for Friday. A few hundred million dollars in additional revenue is expected to be available for lawmakers to spend on state-funded programs.

Senate Majority Leader Randy Richardville says special interest groups and advocates won’t get far if they ask him for more funding. “It doesn’t matter to me if they ask or not. You know, we’ve all been about financial responsibility from the beginning, and I think the reason you have emergency financial managers, the reason the president of the United States is trying to figure out ways to print new money is because we haven’t been financially responsible in the past," Richardville says.

Richardville says the Legislature was smart last year by adding to the state’s rainy day fund and helping to pay off long-term debts. Some Democratic lawmakers say a priority for surplus revenue should be to fill cuts to K-12 schools and higher education.

Meanwhile, Richardville also says he does not think Michigan should be a right-to-work state. He says he does not think eliminating the requirement that some workers pay union dues would help the business climate in Michigan.

“I believe any economic benefits that are talked about with regard to bringing jobs into Michigan are overstated quite a bit because the jobs that we’re trying to attract in Michigan aren’t the lower-level jobs that right-to-work might address," Richardville says.

Governor Rick Snyder has also said he thinks a debate over right-to-work would be divisive. Supporters of right-to-work legislation say Michigan could lose business and jobs to neighboring states if they adopt similar measures.

Michigan Senate looking to retool state film incentives

Laura Weber — Tue, 25 Oct 2011 21:30:04 +0000

Michigan’s film industry will take center stage before a state Senate panel tomorrow.

The Economic Development Committee is expected to discuss a proposed new funding structure for rewarding film companies that want to shoot in Michigan.

Senate Majority Leader Randy Richardville said a generous film tax-incentive program under Governor Jennifer Granholm’s administration was not sustainable, but he said it helped initially attract the movie industry.

“We got a lot of attention by bringing Hollywood here, so to speak, now we’re going to spend a lot less on famous actors and big names and more on providing credit if you’re shooting here in Michigan, [and] if you have a Michigan studio,” said Richardville.

Richardville said film companies want to work in Michigan, but he said many feel the state forced them out when it scaled back its once-generous incentive program.

“You talk to producers, you talk to directors, you talk to movie makers that have been all around the country – they really like Michigan, they’re excited to come back to Michigan. And even the film that we lost recently, I heard a lot from the companies involved that they were very disappointed because those up close wanted to stay in Michigan and film Iron Man 3,” said Richardville.

Governor Snyder approved a less aggressive, $25 million grant program for film projects, but the state Film Office stopped taking applications earlier this month, saying there were no rules for projects to qualify.

The Richardville legislation would put those rules in place.

Michigan Senate scheduled to vote on new bridge bills this week

Zoe Clark — Mon, 10 Oct 2011 12:31:47 +0000

The state Senate is planning a vote on Wednesday on a new bridge from Detroit to Windsor, the Detroit News reports. From the News:

The Senate Economic Development Committee, which is considering legislation to create a public authority to take bids on the bridge, will hold hearings Tuesday and Wednesday and vote on the two bridge bills at the end of Wednesday's session, according to a schedule released Friday.

Governor Snyder’s administration has been pushing for a new span across the Detroit River since January, when the Governor signaled his support for the new bridge during his first State of the State address.

But, as the Detroit News notes, it’s unclear whether the Legislature will pass the bills, “in fact, it wasn't clear Friday if there were enough votes to get the bills out of committee, which has five Republicans and two Democrats… Republicans have generally opposed the public bridge, while Democrats have supported it.”

The News explains:

Ambassador Bridge owner Manuel "Matty" Moroun is opposed to the project, which he sees as unfair government encroachment on his private business. He has spent millions on TV ads and lobbying against the public bridge. The Michigan Chamber of Commerce recently joined most other business and labor groups in supporting the project.
Snyder has said the bridge will be publicly owned, but privately financed, built and managed. The legislation says the bridge is to be built at no cost and no risk to taxpayers. Opponents say they are skeptical of that promise.
Canada has offered to front $550 million to pay Michigan's share of the project costs and would recover the money from bridge tolls. The bridge is estimated to cost just less than $1 billion. The total project — including plazas and connecting roadways on both sides of the river — is estimated to cost about $3.6 billion.

Michigan Radio's Political Analyst Jack Lessenberry has been writing extensively over the years about the bridge controversy:

The Bridge: Beyond Any Doubt, September 21, 2011
Carrying the Bridge North, August 1st, 2011
Selling the Bridge, June 30th, 2011
Beyond the Law?, June 9th, 2011
Canada and the Bridge, May 26th, 2011
Truth in Advertising, April 12th, 2011

State Senate introduces more sweeping education reforms

Laura Weber — Thu, 08 Sep 2011 10:23:23 +0000

A state Senate panel began hearings yesterday on a package of sweeping education reforms. This is the second round of major changes proposed to Michigan’s education system this year.

The package of bills include measures that would allow more charter schools in the state, allow schools to hire teachers from private companies, and require districts to open empty seats in classrooms to students who live outside of the area.

Representatives from the education community say the proposals are controversial. Senate Education Committee Chairman Phil Pavlov says, he does not think so.

“I’m not sure I’d use the word ‘controversial,’ I mean we having a conversation about choice for parents and students in the state and that shouldn’t be controversial,” Pavlov says.

Pavlov also took the lead on the debate over teacher tenure reform earlier this year. Pavlov says Governor Snyder supports some of the reforms. Pavlov says he does not have a timeline to get this round of education reforms through the Legislature.

Representatives from the education community say they are concerned these proposals are based on politics and not research of successful education reforms.

Tax on health insurance claims approved

Zoe Clark — Thu, 30 Jun 2011 15:18:30 +0000

This just in from Michigan Public Radio Network's Laura Weber:

The state Senate has approved a tax on health insurance claims. The measure is necessary to ensure Michigan continues to receive about $800 million from the federal government for Medicaid. The federal government is expected to rule later this year on whether the state's system for funding Medicaid is legal.

The Senate had put the issue up for a test-vote yesterday but it didn't pass. As Rick Pluta noted in a story before the second vote took place:

Governor Rick Snyder has been pressuring the Legislature to adopt a one percent tax on all health insurance claims. That would put Michigan in compliance with federal rules. Otherwise, Michigan could lose 10 percent of its funding for the entire Medicaid program. The claims tax would generate $400 million, and qualify the state for twice that much in federal funds.

Legislature continues discussion on changes to medical marijuana

Laura Weber — Mon, 27 Jun 2011 20:34:07 +0000

Republican state Senate Majority Leader Randy Richardville said a few months ago that he did not want to deal with any major social issues – including medical marijuana regulations – until the budget was complete.

With the budget debate behind them, lawmakers are once again looking at the Medical Marijuana Act.

The Michigan Supreme Court is preparing to decide where and how marijuana plants can be grown, and the state Senate is looking at a bill that would regulate where patients could smoke marijuana.

Bills have come up for debate that would affect everything from where a person could smoke medical marijuana, to where it could be distributed and who could distribute it.

One would prevent convicted felons from becoming medical marijuana caregivers, or distributors, and the other would make it a crime to distribute medical marijuana near a church or school.

Meanwhile, medical marijuana supporters have shown up at every legislative hearing on bills that would add regulations to the law since it was approved by voters a few years ago.

They say any additional regulations would make it harder for people who need treatment to get access to medical marijuana.

A Bridge Too Far

Jack Lessenberry — Thu, 16 Jun 2011 17:08:38 +0000

http://stream.publicbroadcasting.net/production/mp3/michigan/local-michigan-973722.mp3

Once upon a time, two businessmen wanted to build a bridge across the Detroit River, using their own money to do it.

State Senators to take up tax reform bill

Zoe Clark — Tue, 10 May 2011 10:40:30 +0000

A state Senate panel is scheduled to hold a hearing later today on Governor Rick Snyder’s tax reform proposal. The Associated press reports:

The Reforms, Restructuring and Reinventing Committee is scheduled to take testimony Tuesday on legislation that would cut overall business taxes and lead to taxes on certain types of retirement income.
The Republican-led House passed the main bill in the package by a 56-53 vote last month. The legislation will face a tough challenge in the GOP-led Senate because some Republicans already have come out against it.
Some Republicans are opposed to taxing retiree income and to measures that would delay lowering the state's personal income tax rate.
Democrats generally oppose the plan.

Tax plan meets resistance in state Senate

Laura Weber — Wed, 04 May 2011 11:54:20 +0000

Leaders in the Republican state Senate say they still have to wrangle more votes to get a sweeping tax-reform package passed.

Senate Majority Leader Randy Richardville says he will meet with Governor Rick Snyder and House Speaker Jase Bolger to update them on where the tax overhaul stands in the Senate.

"We want to be in sync. We're worked together as a team so far, and we want to continue to do that."

Even though Richardville has been able to work well with Snyder and Bolger on the tax reform package, it appears he is still meeting resistance to the deal from his fellow Senate Republicans. A handful of Republican senators have said they will not vote for the deal that includes a tax on future pensioners. Richardville says he will not make changes to the proposal as it was agreed upon and passed by the House. But he hopes to have enough votes to pass it through the Senate next week.

Senate GOP prepared to reject unmarried partner benefits

Rick Pluta — Wed, 02 Mar 2011 21:15:25 +0000

Republicans in the Michigan Senate have begun the process of reversing the policy of extending benefits to the unmarried live-in partners of state workers – including those in same-sex relationships.

A vote on the Senate floor is expected next week.

A Senate budget subcommittee voted along party lines to reject the new benefits policy. Now, Republicans must muster super-majorities in the Senate and the House to reverse the decision by the independent Civil Service Commission to allow unmarried partner benefits.

The Granholm administration spent years negotiating the agreement with employee unions in an effort to ensure coverage for people in same-sex relationships.

But Governor Rick Snyder says that would cost too much money as the state faces a budget crisis.

Senator Mark Jansen chairs a budget subcommittee. He says adding new benefits to cover unmarried partners could force additional costs onto other state employees who are already being asked to pay more for their health care.

Jansen says the Civil Service Commission made the wrong decision as the state faces a budget crisis.

“I do respect it, but we’re broke, and so now it literally is adding eight million dollars at least to my bottom line. I can’t afford to add anything anymore. So it’s time to take a breath and say, let’s help those that we have right now.”

Ray Holman is with U-A-W Local Six Thousand, which represents thousands of state workers. He says the Legislature should not renege on a deal that took years to negotiate.

“This was negotiated back in 2004 and the appropriate place to deal with this stuff is the bargaining table, and to respect the agreements that have been made. So this should be handled by the Civil Service Commission and we obviously deal with the office of the State Employer on these matters.”

If the Senate and the House don’t reverse the policy, it will take effect October first.

Whitmer to lead state Senate Dems

Zoe Clark — Fri, 05 Nov 2010 11:23:34 +0000

Democratic state Senator Gretchen Whitmer will be Michigan's next Senate Minority Leader. Whitmer's fellow Democratic Senators elected her to the position yesterday. She'll be the first woman to hold the job.