michigan senate

A Michigan Senate committee isn't yet ready to make a decision on a broad plan that would significantly change business and income tax structures in the state.

The Senate Reforms, Restructuring and Reinventing Committee adjourned Wednesday without a vote on the legislation.

It's still possible the proposal will be voted on in the Republican-led Senate as early as Thursday.

The plan backed by Republican Gov. Rick Snyder would cut overall business taxes about $1 billion in the fiscal year starting Oct. 1 and $1.7 billion the following year. The key would be replacing the
Michigan Business Tax with a 6 percent corporate income tax while eliminating many types of tax credits and exemptions.

Some exemptions on retiree income would end, which has drawn opposition from some Republican lawmakers.

Cedar Bend Drive / Flickr

A state Senate panel is scheduled to hold a hearing later today on Governor Rick Snyder’s tax reform proposal. The Associated press reports:

The Reforms, Restructuring and Reinventing Committee is scheduled to take testimony Tuesday on legislation that would cut overall business taxes and lead to taxes on certain types of retirement income.

The Republican-led House passed the main bill in the package by a 56-53 vote last month. The legislation will face a tough challenge in the GOP-led Senate because some Republicans already have come out against it.

Some Republicans are opposed to taxing retiree income and to measures that would delay lowering the state's personal income tax rate.

Democrats generally oppose the plan.

Cedar Bend Drive / Flickr

Leaders in the Republican state Senate say they still have to wrangle more votes to get a sweeping tax-reform package passed.

Senate Majority Leader Randy Richardville says he will meet with Governor Rick Snyder and House Speaker Jase Bolger to update them on where the tax overhaul stands in the Senate.

"We want to be in sync. We're worked together as a team so far, and we want to continue to do that."

Even though Richardville has been able to work well with Snyder and Bolger on the tax reform package, it appears he is still meeting resistance to the deal from his fellow Senate Republicans. A handful of Republican senators have said they will not vote for the deal that includes a tax on future pensioners. Richardville says he will not make changes to the proposal as it was agreed upon and passed by the House. But he hopes to have enough votes to pass it through the Senate next week.

The Michigan Senate passed the bill that around 1,000 union members loudly asked them not to pass.

From the Detroit News:

Legislation that would allow emergency financial managers to throw out union contracts and overrule elected officials in financially distressed municipalities and school districts was approved in the Senate today.

The measure passed 26-12 along party lines in the Republican-controlled chamber. Similar bills passed in the House in late February. The chambers must now agree on a final version to send to Gov. Rick Snyder for his signature. More than 1,000 union members demonstrated opposition to the bills Tuesday, chanting loudly outside the chamber doors as senators worked through details of the legislation.


Teachers, police, firefighters and other public employees plan to march on the state Capitol tomorrow.

They oppose a measure in the Senate that expands the authority of emergency managers named to run troubled local governments and  school districts.

Unions say the measures strike at their bargaining rights.

Union leaders hope for a big enough turnout to persuade Senate Republicans to delay a vote.

Unions are particularly opposed to a part of the legislation that would allow emergency managers to vacate bargained contracts.

Mark Gaffney, president of the AFL-CIO of Michigan, says that’s unfair when the state is also looking to cut money for schools and local governments:

“You’re saying to a city that it’s easy to get a dictator and you’re taking money away from that city that puts you at the point where you might need him or her.”

Republicans say the measures offer local governments early help to avert a financial takeover, but once it happens, emergency managers need crisis tools to set things right.

Scott Kincaid, a member of Flint City Council, favors keeping the law and the authority it grants emergency managers.

"These bills give them unlimited authority to do certain things that, currently, we were able to solve our problems without doing those things. The system works right now, and I’ve experienced it. And it worked very well. We had financial problems in our community and we turned them around in 18 months."

Flint was placed under an emergency manager in 2002. The city recently asked the state for the authority to sell bonds to cover a $17 million budget shortfall and meet its payroll.

The state Senate is expected to vote on the emergency management bills as soon as tomorrow.

Roberto Occhialini / Flickr

Republicans in the Michigan Senate have begun the process of reversing the policy of extending benefits to the unmarried live-in partners of state workers – including those in same-sex relationships.

A vote on the Senate floor is expected next week.

A Senate budget subcommittee voted along party lines to reject the new benefits policy. Now, Republicans must muster super-majorities in the Senate and the House to reverse the decision by the independent Civil Service Commission to allow unmarried partner benefits.

The Granholm administration spent years negotiating the agreement with employee unions in an effort to ensure coverage for people in same-sex relationships.

But Governor Rick Snyder says that would cost too much money as the state faces a budget crisis.  

Senator Mark Jansen chairs a budget subcommittee. He says adding new benefits to cover unmarried partners could force additional costs onto other state employees who are already being asked to pay more for their health care.

Jansen says the Civil Service Commission made the wrong decision as the state faces a budget crisis.

“I do respect it, but we’re broke, and so now it literally is adding eight million dollars at least to my bottom line. I can’t afford to add anything anymore. So it’s time to take a breath and say, let’s help those that we have right now.”

Ray Holman is with U-A-W Local Six Thousand, which represents thousands of state workers. He says the Legislature should not renege on a deal that took years to negotiate.

“This was negotiated back in 2004 and the appropriate place to deal with this stuff is the bargaining table, and to respect the agreements that have been made. So this should be handled by the Civil Service Commission and we obviously deal with the office of the State Employer on these matters.”

If the Senate and the House don’t reverse the policy, it will take effect October first.

Photo courtesy of www.senate.mi.gov/whitmer

Democratic state Senator Gretchen Whitmer will be Michigan's next Senate Minority Leader. Whitmer's fellow Democratic Senators elected her to the position yesterday. She'll be the first woman to hold the job. She became a state Senator in 2006.  Before that, she was as a member of the Michigan House of Representatives from 2000 to 2006.

Kalamazoo Mayor Bobby Hopewell
Kalamazoo Public Library

Democratic Party leaders in Kalamazoo and Van Buren counties have chosen their candidate to replace Robert Jones - Kalamazoo Mayor Bobby Hopewell.

Robert Jones was running for the Michigan Senate in the 20th district when he died over the weekend. He was battling esophageal cancer.

In Michigan, votes for a deceased candidate do not count, so party leaders had to put forward a new candidate.

Photo from Jones campaign website

Michigan House Representative and current Democratic candidate for State Senate Robert Jones died this past weekend. He was 66 and being treated for esophogeal cancer, but officials at Kalamzoo's Democratic Party Headquarters say his death still came as a surprise.

Jones' death has raised several questions about the race for the State Senate seat in Michigan's 20th district (representing parts of Kalamazoo and Van Buren counties).