LANSING – During a full day of action on the House floor aimed at resolving Michigan's budget crisis, State Representative Richard LeBlanc (D-Dearborn Heights) on Wednesday voted to strengthen the House's comprehensive business tax and incentive package, cut lawmaker pay by 5 percent, and streamline education spending to keep more dollars in classrooms.
"The Michigan Business Tax will help bring businesses to our state and create good-paying jobs for our workers," LeBlanc said. "The enhancements we made will give this plan even more punch by strengthening rewards for companies. This plan will help jumpstart Michigan's economy and get our state on the road to recovery."
The House first unveiled the plan in April – putting out the only plan of its kind to address both the Personal Property Tax and the Single Business Tax (SBT) in such a far-reaching manner. The Michigan Business Tax (MBT) would allow 75 percent of businesses in Michigan to pay less in taxes, while protecting funding for education, health care and the 21st Century Jobs Fund.
On Wednesday, House Democrats also introduced a resolution calling on the State Officers Compensation Commission, the body in charge of determining legislator salaries, to decrease lawmakers' salaries by 5 percent beginning with the 2009-10 legislative year, the earliest allowed under the state constitution.
In addition, the House passed a plan thatcaps local superintendents' total compensation so it does not exceed the Governor's compensation; ends free cars for local superintendents; and eliminates "double-dipping" for retired state employees by requiring them to freeze their pensions if they come back to work for the state to avoid being paid twice for the same job.
"Our schools need to be able to prepare our students to compete for the good-paying jobs of the future," LeBlanc said. "We must keep more of our education dollars in the classrooms – where they belong – and spend every tax dollar responsibly."