Calley, who saved the Senate roads package from potential failure, said he was not originally scheduled to be in the Capitol on Wednesday but returned in the event of a possible tie on the gas tax bills.
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Under the plan, if passed, the current 19 cent per gallon tax on gasoline would increase by 5 cents to 24 cents per gallon beginning in October of this year.
The Michigan Senate plans to vote on a $1.5 billion road-funding plan that would raise fuel taxes and redirect other government revenues to transportation infrastructure.
The plan, proposed by Senate Majority Leader Arlan Meekhof, R-West Olive, also calls for reducing the state’s 4.25 percent income tax, but those cuts would rely on growth of general fund exceeding inflation.
“There will be a few challenges, there’s no doubt about it”, said Sen. “But at the end of the day, it’s doable”.
Democrats said the annual diversion of $700 million from the $9.9 billion general fund – the state’s second-biggest spending account behind school aid – would be too steep.
“Our people just want our roads fixed”.
The Republican-led House passed a $1.2 billion plan in mid-June that would bring the 15-cents-a-gallon diesel tax in line with the 19-cent gas tax and increase both with inflation in the future, as well as earmark general funds for roads, cut economic development spending, increase registration fees for hybrid and electric vehicles and eliminate a tax credit for lower-income residents. “This crisis also deserves our immediate attention”.
The bills were reported out of committee down party lines.
If they were to specify that this would come exclusively from corrections, by freeing nonviolent offenders that don’t need to be there, I’d be an enthusiastic supporter. The former lieutenant governor says good pieces of the legislation include a 15-cents-a-gasoline tax increase to provide a permanent road funding increase. They want us to look within (existing revenues). The Government Operations Committee voted on the bills late Tuesday afternoon.
The Michigan Chamber is a statewide business organization representing approximately 6,700 employers, trade associations and local chambers of commerce.
The only Democrat to vote in favor of a few significant portions of the package was Sen. This idea that were going to say, Well make up the rest of it in cuts but were not going to tell you what that is until later should be disconcerting to people.. Curtis Hertel, D-East Lansing. Hertel said.
Senate Republicans plan a five-hour caucus Tuesday to determine if there are enough votes to pass the measure.
Representatives with the Michigan Catholic Conference also spoke in opposition to the proposal and the proposed cuts to the EITC.
The bill, which is being called ‘Fixing Michigan Roads, ‘ now heads to the full Senate for consideration.
House Speaker Kevin Cotter, R-Mount Pleasant, welcomed the Senate panel’s action.
“This is like Sophie’s Choice”, Jacobs said, referring to the novel in which a mother has to decide which of her two children would die.
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The increase alone would raise between $700-million to $800-million a year to fix the roads here in Michigan.
