NewsRoom
5:10 pm
Tue April 15, 2014

Local Governments: Tax Day Study Shows State Not Paying Fair Share

Local officials want the state to share more of the revenue it takes in.

As The Michigan Public Radio Network’s Jake Neher reports, a study released Tuesday shows local revenue has dropped by more than a $1 billion in recent years.

The nonpartisan Citizens Research Council report says while local revenues have dropped, state revenues have actually gone up.

Samantha Harkins is with the Michigan Municipal League. She says the disparity between local and state revenue is partly because the state has cut aid to Michigan communities. Harkins says those cuts mean residents are losing out on essential services.

“If you ask the average person what they actually notice and what impacts them, it’s their services at their local level,” she says.

Governor Rick Snyder is proposing an increase in state revenue sharing with Michigan communities in next year’s budget. But Harkins says broader changes are needed to fix the problem.