MAGIC! Thats how the Michigan House voted last night to fix our crumbling roads without raising taxes. It sounds reasonable to say the sales taxes on gas should go to roads, but part of the 1994 Proposal A deal was that a massive cut in property taxes for schools would be replaced by an increase in sales taxes -- 73% of sales tax on gas goes to K-12 schools. The magical growth that is supposed to hold schools harmless CANNOT occur via property taxes, which are restrained by law to the annual rate of (low) inflation. It will be decades before these taxes raise as much revenue as before the Great Recession. Look at your own house tax bills to see this. Previous tax cuts have cut a BILLION dollars a year from the School Aid Fund. This diversion would remove billions more. And the legislatures own proposed deficit early warning system would find HALF of districts in danger and so eligible for state control. Is the connection between constant raids on the SAF and rampant financial stress not obvious? PLEASE contact your legislators today!
Posted on: Fri, 05 Dec 2014 12:31:45 +0000