Personal exemption increase passed today means drastic cuts to vital services in years ahead

For Immediate Release 
February 14, 2018

Contact:
Alex Rossman
arossman@mlpp.org
517.487.5436

LANSING—The Michigan League for Public Policy issued the following statement on the legislative compromise reached today by Governor Rick Snyder and the House and Senate on bills to increase Michigan’s personal exemption, and the subsequent strain it will have on the state budget. The League also weighed in on another component of the deal—an elimination of the state’s driver responsibility fees. This statement can be attributed to Michigan League for Public Policy President & CEO Gilda Z. Jacobs.

“We were disheartened today to hear that the Legislature and governor have reached an agreement on an increase to the state personal exemption that will result in hundreds of millions of dollars in lost revenue in the coming years with little benefit to most families. Simply put, the juice is not worth the squeeze on a tax cut right now. Lawmakers are making bad decisions today that will force future legislators to pay for them with significant cuts to the services residents value and rely on. The League will continue to be the voice of fiscal responsibility, and we will keep on advocating for policies—not political ploys—that truly make a difference for struggling Michiganders.

“We hope that today is the last we hear of any tax cut talk and that the League and the Legislature alike can turn our attention to the state budget. It’s just unfortunate that the adverse impact of this tax cut will outlast many of the people responsible for it.”

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The Michigan League for Public Policy, www.mlpp.org, is a nonprofit policy institute focused on economic opportunity for all. It is the only state-level organization that addresses poverty in a comprehensive way.