Michigan Votes Forum

Introduced in the House on February 11, 2004, the House version of the Fiscal Year (FY) 2004-2005 General Government budget, which funds the Attorney General, Civil Rights Department, Civil Service Department, Executive, Legislature, Department of Management and Budget, Department of State, Department of Information Technology, and Department of Treasury. (Note: Gov. Jennifer Granholm’s proposed budget for this department is House Bill 5608.) This appropriates $2.021 billion in adjusted gross spending (funded from all sources, including special state restricted fund and federal pass-through dollars, minus interdepartmental transfers), compared to $2.286 billion, which was the FY 2003-2004 amount enrolled in 2003. Of this, $345.2 million will come from the general fund (funded by actual state tax revenues), compared to the FY 2003-2004 amount of $355.1 million. Another $1.622 billion is from “restricted funds,” or earmarked tax and fee revenue. $1.135 billion of this budget is paid out in revenue sharing to local governments. The House version conforms to the governor's proposal to pay revenue sharing to counties out of a fund created by collecting 2004 county property taxes six months earlier, even though that plan appears to be dead (see 2004 Senate Bill 1112). It authorizes approximately $10 million less in adjusted gross spending than the governor recommended. However, the “bottom line” gross spending appears to show $49 million more, due to change in how the House version accounts for the state’s motor vehicle fleet expenses. Much more information on Michigan’s budget is available at Hot Topics: Michigan’s Budget Challenge at www.mackinac.org/4964

The vote was 62 in favor, 43 opposed and 4 not voting

(House Roll Call 231 at House Journal 30)

Click here to view bill details.

Reps. Vagnozzi, Dennis, Gillard, Brown, Adamini, Waters and Hopgood, having reserved the right to explain their protest against the passage of the bill, made the following statement: "Mr. Speaker and members of the House: I voted no on House Bill 5517 for several reasons. First, despite the fact that the state is facing an enormous deficit and almost all state departments are subject to intense scrutiny over their spending, appropriations for the Attorney General were increased significantly, and absolutely no attention was given to potential savings within that budget. In addition, HB 5517 adds an extra $500,000 for the Department of Treasury to conduct a financial and performance audit of the Detroit Water and Sewerage Department. There is no precedent for the state to step in and audit a local utility system in this manner, and it is irresponsible to spend money from taxpayers across the state to audit a local system that already offers rates among the lowest in the state. Finally, I oppose the fact that HB 5517 cuts ALL of the $7.0 million for Treasury's personal property tax audit program. Eliminating the personal property tax audit program will do away with $44 million in estimated revenue from the program that is already built in to the School Aid Fund budget for FY 2004. Personal property taxes not only support education funding, they support local government public services such as fire and police protection, libraries, parks and public transportation. Eliminating this audit program suggests that it is acceptable for businesses to continue understating their personal property tax liability, to the detriment of all others who pay their taxes honestly. For all these reasons, I voted no on House Bill 5517."

Rep. Anderson, having reserved the right to explain his protest against the passage of the bill, made the following statement: "Mr. Speaker and members of the House: I voted no on House Bill 5517 due to the fact that the state is facing an enormous deficit and almost all state departments are subject to intense scrutiny over their spending, appropriations for the Attorney General were increased significantly, and absolutely no attention was given to potential savings within that budget. I also oppose the fact that HB 5517 cuts ALL of the $7.0 million for Treasury's personal property tax audit program. Eliminating the personal property tax audit program will do away with $44 million in estimated revenue from the program that is already built in to the School Aid Fund budget for FY 2004. Personal property taxes not only support education funding, they support local government public services such as fire and police protection, libraries, parks and public transportation. Eliminating this audit program suggests that it is acceptable for businesses to continue understating their personal property tax liability, to the detriment of all others who pay their taxes honestly. For all these reasons, I voted no on House Bill 5517."

Rep. Accavitti, having reserved the right to explain his protest against the passage of the bill, made the following statement: "Mr. Speaker and members of the House: I voted no on House Bill 5517 for two reasons. First, despite the fact that the state is facing an enormous deficit and almost all state departments are subject to intense scrutiny over their spending, appropriations for the Attorney General were increased significantly, and absolutely no attention was given to potential savings within that budget. Second, I oppose the fact that HB 5517 cuts ALL of the $7.0 million for Treasury's personal property tax audit program. Eliminating the personal property tax audit program will do away with $44 million in estimated revenue from the program that is already built in to the School Aid Fund budget for FY 2004. Personal property taxes not only support education funding, they support local government public services such as fire and police protection, libraries, parks and public transportation. Eliminating this audit program suggests that it is acceptable for businesses to continue understating their personal property tax liability, to the detriment of all others who pay their taxes honestly. For both these reasons, I voted no on House Bill 5517."

Rep. Tobocman, having reserved the right to explain his protest against the passage of the bill, made the following statement: "Mr. Speaker and members of the House: I voted against this bill because it contains two provisions which are simply unsound fiscal policy. The first is a complete waste of $500,000 on a Department of Treasury financial and performance audit of the Detroit Water and Sewerage Department. There is no precedent for the state to step in and audit a local utility system in this manner, and it is irresponsible to spend money from taxpayers across the state to audit a local system that already offers rates among the lowest in the state. Pure and simple this represents a waste of taxpayer dollars on a political issue that has been studied, debated, discussed and used to divide our state and Southeastern Michigan. Another half million dollars on this issue will accomplish absolutely nothing. I am ashamed of my colleagues for supporting this. Finally, I oppose the fact that the bill cuts all of the $7.0 million for Treasury's personal property tax audit program. Eliminating the personal property tax audit program will do away with $44 million in estimated revenue from the program that is already built in to the School Aid Fund budget for FY 2004. Personal property taxes not only support education funding, they support local government public services such as fire and police protection, libraries, parks and public transportation. Eliminating this audit program suggests that it is acceptable for businesses to continue understating their personal property tax liability, to the detriment of all others who pay their taxes honestly. For all these reasons, I voted no on House Bill 5517."

Rep. Law, having reserved the right to explain her protest against the passage of the bill, made the following statement: "Mr. Speaker and members of the House: I voted no on House Bill 5517 (H-1) for several reasons. First, despite the fact that the state is facing an enormous deficit and almost all state departments are subject to intense scrutiny over their spending, appropriations for the Attorney General were increased significantly, and absolutely no attention was given to potential savings within that budget. In addition, HB 5517 adds an extra $500,000 for the Department of Treasury to conduct a financial and performance audit of the Detroit Water and Sewerage Department. There is no precedent for the state to step in and audit a local utility system in this manner, and it is irresponsible to spend money from taxpayers across the state to audit a local system that already offers rates among the lowest in the state. Finally, I oppose the fact that HB 5517 cuts ALL of the $7.0 million for Treasury's personal property tax audit program. Eliminating the personal property tax audit program will do away with $44 million in estimated revenue from the program that is already built in to the School Aid Fund budget for FY 2004. Personal property taxes not only support education funding, they support local government public services such as fire and police protection, libraries, parks and public transportation. Eliminating this audit program suggests that it is acceptable for businesses to continue understating their personal property tax liability, to the detriment of all others who pay their taxes honestly. For all these reasons, I voted no on House Bill 5517."

If this contract for the credit card company was a way to outsource state jobs then I am highly against this anti- worker anti-union bill that turns our good paying jobs into low paying jobs. This site didn't offer enough information to me, but it smelled like outsourcing.

Again Rep. Murphy supported something that was micro managing in a way that would have cost taxpayers more money by causing more work and red tape in the Attorney Generals Office.

I am proud of the Lawmakers that struck down this outsourcing type of legislation in favor of saving state unionized jobs. Again Rep. Murphy supported an outsourcing bill.

This bill was another attempt at adding regulation to a Michigan business climate that is already over regulated. We need new businesses in Michigan. We do not need to drive them away with more regulation especially outsourced to private companies.