The Michigan Legislature approved a roads funding package after years of stalemates and postponed votes. State Capitol reporter Jake Neher join Stephen to explain the implications of the much anticipated legislation.
- Revenue: The newly passed roads package will be funded by a $600 million raise in taxes and another $600 million in state budget cuts. Neher says that in the past, Governor Snyder has said that his main goal is to ensure Michigan’s stable fiscal position in years to come. Neher adds that this plan could compromise that vision because it’s tied to a rollback in the state income tax rate.
- A Partisan Bill: The bill was passed largely by the GOP party. Only two Democrats, one from each chamber, voted for it. Neher says that although politicians envisioned the plan as being bipartisan, Republicans ultimately decided to move on from the roads issue and deal with others such as education and energy policy.
- Lack of Details: Henderson says the state has yet to specify where $600 million in budget cuts will come from. Neher adds that tax increases won’t be implemented until 2017 and that the plan itself won’t be in full swing until 2021.
To hear the whole conversation, click the link above.