Undeniable fact of life: capital goes where it is treated well.
Tax this tax that, raise taxes more more more has been the governing philosophy of Michigan Governor Jennifer Granholm and when it started to put the breaks on economic growth and capital started leaving the state the answer was to raise even more taxes and put a new tax on business to pay for commercials to ask business to come to Michigan….. ya I know …….and they are baffled as to why it doesn’t work.
Why is it that so many on the far left continue to believe that they can tax us all into prosperity? Anyone can see that since former Governor Engler has left office Michigan has been run into the ground. Michigan was in recession when the rest of the country was still experiencing growth. This brings us to Quinn’s Law of Leftism # 10 “Leftists never think what they are doing is wrong, they only think they haven’t done enough of it yet or it is underfunded.”
While you read ahead keep in mind that unemployment is Michigan is more severe than in most states.
So what is the latest?
Granholm Supports Raising Gas Tax
Wednesday, 04 Mar 2009
By KATHY BARKS HOFFMAN
The Associated Press
LANSING, Mich. (AP) – Noting that state roads are “the pits,” Gov. Jennifer Granholm said Wednesday that she supports changing the state gasoline tax to raise more money as gas prices rise.
Granholm told reporters that the state’s current 19-cent-per-gallon tax doesn’t raise enough money to repair Michigan’s aging roads.
“The roads are the pits. We have no long-term funding source to make sure the roads are smooth,” she said.
The Transportation Funding Task Force that Granholm appointed last year has suggested converting the per-gallon gasoline tax to a tax on the wholesale price of gas and raising vehicle registration fees. Granholm said Wednesday she supports both.
More More More!!!
LANSING — It could cost more to smoke cigars, visit state parks and make international phone calls starting Oct. 1 under Gov. Jennifer Granholm’s budget proposal.But don’t worry yet. It’s unlikely most of the tax and fee increases will become law this year.
Past attempts to end tax breaks for international calls and tractor-trailer sales, for example, died after hitting tough resistance in the Legislature.
So did the governor’s 2007 proposal to double the tax on cigars, snuff and tobacco used to roll your own cigarettes.
That didn’t stop her from floating the idea again this year or from trying once again to double liquor license fees. But the Democratic governor probably shouldn’t hold her breath waiting for a different result.
Senate Majority Leader Mike Bishop, R-Rochester, opposes tax and fee hikes to help balance the budget. Since Republicans control the Senate, he’s positioned to kill most of her ideas.
“I don’t know why they’ve been proposed,” he said. “I have not seen one that makes any sense.”
Senator Cameron Brown has a different idea:
The average vehicle registration fee nationally is $61. Many states – such as Louisiana ($18), Arizona ($15), and Virginia ($9)- are substantially below this average. The average Michigander, meanwhile, pays $101. Michigan residents pay the sixth highest vehicle registration fees in the country. Neighboring states such as Ohio ($54), Indiana ($42) and Wisconsin ($73) all charge less than Michigan does on average.
Before Michigan jumps to the top of the list for vehicle registration costs, perhaps we should explore real reform of our transporation system. Money saved administratively and through competitive bidding is money that can be put into repairs. The Mackinac Center has proposed some common sense reforms that will result in significant savings, including:
– Making changes in state trunk line maintenance, including requiring state work in each county to be competitively bid.
– Consistently requiring design and build warranties so contractors are responsible for keeping roads in the desired condition.
– Increasing the use of scorecards to measure performance by state and local units of government against transportation standards.
– Improving the state’s control over the type, length and cost of environmental impact statement studies, which would reduce regulatory red tape in the road building process.