Well Here It Is: New Road Funding Plan
Well he promised a plan and he delivered on that promise, Rep. Kevin Cotter Michigan’s House Speaker presented the plan to the state today.
As being reported by the Detroit News, the plan would generate $1.05 billion dollars annually (eventually, not right away) for infrastructure repairs.
The plan as stated by Speaker Cotter is as follows’:
- $700 million would be dedicated to roads through projected growth in the state budget. What if the growth does not occur?
- Eliminate the state's Earned Income Tax Credit and redirect the $117 million toward fixing Michigan's roads. The democrats are not going to like this one
- Raise the 15 cents per gallon diesel tax to the 19-cents-per-gallon. Sounds fair, they do the most damage to the roads
- Index the 19-cents-per-gallon tax to allow for inflationary increases. Again sounds fair, should have been done back in 1997 when the last increase passed
- Another $185 million would be taken from the state's $20 billion dollars in restricted funds (defined as taxes dedicated by law or the Michigan Constitution for specific uses i.e. community health and economic development)
- Eliminate the $50 million dollar film subsidy and redirect those funds to infrastructure
- Redirect $60 million in tribal casino revenue to infrastructure
- Redirect $75 million in tobacco settlement money away from the 21st Century Jobs Fund to infrastructure. I spoke about this on my show Wednesday, why are funds from the tobacco settlement going to anything other than tobacco related issues.
Speaker Cotter’s plan would be phased in before reaching the extra $1.05 billion a year in the fiscal year that begins Oct. 1, 2018.
Until October 1, 2018 the plan would generate
- $522 million in fiscal year 2016
- $697 million in fiscal year 2017
- and $872 million in fiscal year 2018.
Well there it is, at least the first shot at it.
What do you think about it?
Does it have a chance to pass close to this original form?
Let’s discuss this tomorrow (Thursday) on my show The Live with Renk show, which airs Monday through Friday 9 a.m. to noon, to let me know your thoughts at (269) 441-9595.
Or please feel free to start a discussion and write your thoughts in the comment section