House lawmakers want bolder plan
Published 10:57 pm Wednesday, December 20, 2006
By Staff
LANSING – As the 2006 Legislature comes to a close, state Rep. John Proos says implementing a replacement for the Single Business Tax (SBT) will be the top priority of Michigan lawmakers at the beginning of the new year.
Proos, along with his legislative colleagues, recently reviewed Gov. Granholm's proposal to create a new Michigan business tax to replace the SBT "dollar-for-dollar."
While the plan provides many reforms to revitalize Michigan, the lawmaker says there is more work to be done on the plan in 2007.
"A new business tax structure for Michigan means a new opportunity to provide economic growth and development," said Proos, R-St. Joseph. "It is important that we don't rush the process without making an informed decision that will create a better future for Michigan. We must take this once-in-a-generation opportunity to establish reforms that will create jobs, build business innovation and make Michigan a top 10 state."
Michigan was the only state to lose jobs in 2004 and 2005.
In October, a report analyzing a one-year time period showed an increase in payroll and employment in 49 states and the District of Columbia, while Michigan was the only state to decrease its payroll and employment opportunities in the same time period.
House Republicans used the lame duck session to review the governor's plan and any other plans that were proposed within that time frame, however, legislative action was not taken. "We don't want to delay the process of reviewing plans and begin discussions on replacements, but we do want to insure Michigan has a more competitive tax code that is just as diverse as California, Ohio and any other state," Proos said.
Proos is seeking input from the southwest Michigan business community over the next few months on what they think of the governor's plan and how it can be improved.
Proos can be contacted toll-free at 1-888-656-0079 or by e-mail at johnproos@house.mi.gov for additional information on the SBT's replacement.
Proos also recently introduced a bipartisan bill to require annual reporting of phone lines within individual municipalities so local units of government will have an accurate understanding on how much revenue is expected for use of the public right-of-ways. Proos, vice chair of the House Energy and Technology Committee, said the idea for this bill was brought to him by a township manager who saw the number of phone lines decrease by half in one year. "This legislation will help our local units of government to better plan for the amount of revenue they will receive through usage of their right-of-ways," said Proos.