East Lansing City Council voted unanimously Monday night to put income tax on the August 7 ballot in hopes of relieving some of the city’s financial strain.
The City of East Lansing is in about $200 million dollars in debt- a shortfall blamed on state revenue sharing cuts and growing obligations to retirees.
Some of the terms are the same as the last proposal, which was not passed by East Lansing voters. It calls for a 1% income tax on residents and .5% on non -residents. But, as East Lansing Mark Meadows points out, there are differences.
“It is for a limited time period, 12 years at which point in expires,” Meadows explains. “And it has to be used for three purposes: infrastructure, police and fire protection, and to pay down this unfunded liability we have for public pension.”
Mayor Meadows says these changes were made due to the results of research, surveying residents, and obtaining public input. He says he is hopeful it will pass this time, because it reflects what the community wants.