With the Republicans in charge of both houses of the state legislature pledging to make up for a projected $1.8 billion deficit next year with a cuts-only budget, new Senate Majority Leader Randy Richardville (R-Monroe) says local governments are going to lose more revenue sharing.
AP reports:
Michigan lawmakers scrambling to deal with a projected $1.8 billion state budget shortfall could cut tax revenue sharing payments made to local governments for public safety and other services, Republican legislative leaders said Thursday…
Tax revenue sharing payments from the state to local governments have been cut or frozen in recent years, forcing cities and townships to cut back on police and other services. The payments, along with local property taxes, are a key part of a typical city’s budget.
Local government officials say further revenue sharing cuts would cause more police and fire layoffs, push some communities into bankruptcy and reduce money available for roads, parks, water systems and other services.
Revenue sharing cuts in the 2010 budget forced local communities to lay off hundreds of police officers, firefighters and other employees.