Majority of Michigan Voters Support a Tax Increase
Lansing, MI - Nearly two-thirds of Michigan residents responding to a newspaper survey said the state should raise taxes and cut spending simultaneously to fix the state's budget crisis. Most polled preferred a higher sales tax over an income tax increase, according to the survey published in The Detroit News.
Gov. Jennifer Granholm has ordered a cut, of up to $125 per student, in school aid and reduced Medicaid payments. That could change if the state government and the governor’s office reach an agreement before then. As it stands now the sate is facing a $700 million shortfall in this year's budget.
The republican controlled sate senate opposes any tax increase this fiscal year but said they would consider a tax increase to address the projected $2 billion deficit in the budget for the next fiscal year starting. The senate rejected the governor’s proposed 2 percent tax on services, which she said would raise $1.5 billion.
The poll of 600 voters was conducted statewide by EPIC/MRA of Lansing and showed:
- 84% of respondents believe there is a budget emergency.
- 64% thought the state should raise taxes while reducing spending.
- 51% favored taxing services.
- 30% favored a higher income tax.
- 23% favored making up the money by budget cuts.
- 14% don’t believe the budget is at a crisis point yet.
- 11% said they opposed any tax increase.
- 7% did not have an opinion.
- 6% supported only tax increases.
Margin of error plus/minus 4%.
Spokeswoman for Gov. Granholm office, Liz Boyd said the survey results came as no surprise. "People know that there is a budget crisis in Michigan and that the governor is continuing to push for action on solving the problem with a combination of cuts, reforms and new revenue," Boyd said.
It is clear the people of Michigan have various ideas of what should be done to resolve the budget shortfalls faced by state government but whether or not they will see any changes in the short tem and what those changes will be still remains a mystery to those in government as well as the public at large.