ADOPTED - APRIL 10, 2007

AGENDA ITEM NO. 11

Introduced by the County Services and Finance Committees of the:

INGHAM COUNTY BOARD OF COMMISSIONERS

RESOLUTION ON THE STATE BUDGET CRISIS

RESOLUTION #07-077

WHEREAS, after seven straight years of state budget deficits and four years of budget cuts, we are facing yet another $3 billion shortfall in state revenue for the current and 2007-08 fiscal years; and

WHEREAS, the Governor has already cut over $3.6 billion from the state’s budget over the past four years, has cut more from the state’s budget than any previous governor and is operating the state with fewer state employees than we had in 1970; and 

WHEREAS, we have cut major taxes over 32 times in the past decade, our unemployment rate remains one of the highest in the country, and our auto industry continues to struggle; and

WHEREAS, the Single Business Tax (SBT), the primary tax paid by businesses in Michigan, will be entirely phased out by the end of the year with no replacement for the $1.9 billion in revenue generated from this tax; and

WHEREAS, higher education in Michigan has already been cut by $250 million which has resulted in college students and their families having to pay double digit tuition increases and a college education moving further out of reach for the state’s middle class; and

WHEREAS, funding for local governments has been cut by $2 billion resulting in a loss of over 1,600 police officers and 2,000 fire fighters statewide, thereby compromising the safety of our local communities; and

WHEREAS, further cuts to state safety net programs for food assistance, childcare and health care will only result in a shift of demand to already overburdened county and municipal programs.

WHEREAS, the Senate has proposed a cut of $18.4 million to the Convention Facilities Fund which is comprised of liquor tax revenues and these revenues amount to approximately 50% of this program which is divided between County revenues and the Substance Abuse Coordinating Councils for substance prevention programs, and such a cut to this program in 2007 would equate to approximately $800,000, $400,000 of which would be to the County General Fund, with the rest being cut from the Mid-South Substance Abuse Commission appropriation.

THEREFORE BE IT RESOLVED, that the County of Ingham cannot sustain further cuts in essential state services and that further funding cuts will result in a loss of quality of life for the citizens of this state and an inability to attract new business to our communities.

BE IT FURTHER RESOLVED, that the Michigan Legislature must demonstrate bipartisan leadership by:1) identifying a full replacement for the SBT and, 2) affirming their commitment to finding funding solutions to address the budget deficit in a manner that will move Michigan into a sound economic future and ensure a high quality of life for our residents.

ADOPTED - APRIL 10, 2007

AGENDA ITEM NO. 11

RESOLUTION #07-077

BE IT FURTHER RESOLVED, that the County Clerk shall send copies of this resolution to Governor Jennifer Granholm, the Senators and Representatives for Ingham County, and the Michigan Association of Counties.

COUNTY SERVICES:  Yeas:  De Leon, Tennis, Copedge, Dougan

Nays:  Severino       Absent: Nolan      Approved 4/3/07

FINANCE:  Yeas:  Celentino, Grant, Grebner, Dougan

    Nays:  None      Absent:  Hertel, Soule  Approved 4/04/07