LANSING (WKZO) — Michigan House Speaker Kevin Cotter released his proposal to fund road improvements in the state of Michigan, saying it’s a starting point, not a finished plan.
He said that just because a number of lawmakers stood on stage with him, that it shouldn’t be construed that they actually endorsed his plan either.
It also triggered fierce criticism from Democrats, human welfare organizations, and even some business groups.
It proposes tapping into the projected growth of state revenue for the bulk of its funding, eliminating the earned income tax credit, and taps into tobacco settlement dollars and restricted casino income to reprioritize funding for roads.
It also raises the tax on diesel fuel and eliminates tax credits for the film industry.
Democrats called it more of a prayer than a plan, there were questions whether tapping restricted funds may break the law and if not, it certainly breaks promises
. Kalamazoo Democrat Jon Hoadley says if a business depended on projected revenue, if would be called irresponsible.
Hoadley says if they are going to handle this like adults, they have to admit that it cannot be done without a tax hike or additional user fee of some sort.
The Michigan League for Public Policy calls it their worst fear, because it paves roads directly at the expense of the state’s most vulnerable citizens.
Cotter says the pluses are that it doesn’t raise taxes, directs all the new funding to roads, and is simpler.
He says while he would like to see if they can get it hashed out before the end of June, he is not adverse into cutting into the summer break if that’s what it takes to get a plan.
The Senate has already set aside most of the summer, scheduling sessions through September to work on road funding.
Senate Leader Arlan Meekhof agrees the Cotter plan is a good starting off point, but has already called tapping restricted funds a nonstarter.