Tagged: census

The median income for Michigan households has dropped by more than $9,000 over the past decade. Only one other state, Hawaii, has seen a bigger loss in income.

A small village 20 minutes south of Grand Rapids is challenging U.S. census data gathered there last year. Last year the U.S. Census counted just 1,500 people living in the Village of Caledonia.

But Village President Glenn Gilbert thinks they really have about 100 more people than the census says.

“So if we had 1,600 versus 1,511, it’s not a big deal. But it’s just the accuracy and the commitment as an American you should really take to task the federal government and make sure they’re correct in what they do,” said Gilbert.

DETROIT (AP) - Gov. Rick Snyder is preparing to sign bills that will allow the city of Detroit to continue its income tax and utility user tax provisions.

Snyder is scheduled to sign the bills Thursday.

The main bill would allow Detroit to continue a 2.5 percent city income tax rate on resident individuals, higher than allowed in other Michigan cities.

Changes in state law are necessary to continue the tax rates because of Detroit's declining population.

Census statistics show that Detroit's population fell to 713,777 last year. The decline puts Detroit in danger of losing allowances in state law reserved for cities with a population above 750,000.

The bills to be signed by Snyder would lower the population threshold to 600,000 so Detroit still qualifies for the tax provisions.

Update 5:07 p.m.

The Michigan Public Radio Network's Laura Weber reports that most Republicans voted against the change, but Republican House Speaker Jase Bolger was not among them.

He voted for the measure, which passed by a narrow margin:

"I think for a healthy Michigan we have to have a healthy Detroit, so House Republicans put up enough votes for passage and we advance this bill forward today," said Bolger. "But at the same time, we are certainly concerned about containing their expenses and not looking for additional revenue."

Weber reported that changes to the population requirement now goes to the State Senate, where Democrats hope to have them approved in the next week.

1:23 p.m.

State law stipulates that a city must have a population of at least 750,000 people in order to tax at certain rates.

In the last census, Detroit's population fell below that threshold and now stands at 713,777 according to official U.S. Census statistics (that number is being challenged).

The city could stand to lose $100 million if it had to lower it's income tax rate.

Losing this much revenue in Detroit would hurt, so lawmakers in Lansing are working to pass legislation that will allow the city to keep taxing at current rates.

The Michigan State House approved a measure today that would allow the city to continue levying taxes on income and utilities by lowering the population threshold to 600,000.

The Michigan Public Radio Network's Laura Weber reported on this last night. Weber spoke with State Senator Bert Johnson (D - Detroit) about the bill. From Weber's report:

He says he thinks that 600,000 is a safe and low-enough number.

“You know, I think Detroit’s days of really hemorrhaging people are probably behind us. We’ll lose a few more along the way, but not in the significant numbers that we’ve seen over the past decade,” Johnson said.

Detroit Mayor Dave Bing said the city would likely face a financial emergency without changes to the law.

LANSING, Mich. (AP) - The city of Detroit could continue charging a higher income tax rate than other Michigan cities under terms of legislation pending in the state House.

The bills that could come up for votes Wednesday also would affect utility user tax rates in Michigan's largest city.

Detroit likely needs changes in state law to keep some of its current tax rates because it is losing population. Census statistics show that the Motor City's population fell from 951,270 in 2000 to 713,777 last year.

Current state law allows higher personal income tax rates in cities with at least 750,000 people, affecting only Detroit. The law would have to change now that Detroit's population has dipped
below that 750,000 mark.

Detroit now charges an income tax rate of 2.5 percent for residents.