Use state budget surplus for personal income tax relief

Published 8:41 am Thursday, January 26, 2017

Michigan’s economy continues to recover and create jobs, and that is great news for all southwest Michigan residents.
As a result, our state is expected to have a budget surplus of more than $200 million.
State fiscal leaders from the Senate, House and executive branch and economists from across the state recently met for the annual January Consensus Revenue Estimating Conference at the Capitol. Their economic and tax revenue projections are used to draft budget proposals for the next fiscal year, which begins Oct. 1.
For the current 2017 fiscal year, state officials forecasted that Michigan will have $206.2 million more in total revenue than previously expected.
Let us never forget that the expected increase in state revenues is a direct result of Michigan’s economic growth and having state government live within its means.
An effective and limited government only takes what it needs to provide essential services to the people, while freeing up resources to help the people build businesses, create jobs and support their families.
We should use the projected surplus to provide income tax relief to Michigan families — not as a winning lottery ticket to fund more government.
It starts with doing what we can to keep spending down. During my time as chair of the Senate subcommittee for the corrections and judiciary budgets, the Senate has passed $362 million in savings. By being fiscally responsible with taxpayer dollars, we can invest more in key priorities while also putting money back into the pocketbooks of southwest Michigan taxpayers.
We have accomplished a tremendous amount since 2011 to improve Michigan’s economy and the fiscal health of our state. While Michigan’s comeback is largely due to proactive reforms, credit must also be given to our hardworking families and small business owners.
They are the lifeblood of our state, and they have earned a break.

Sen. John Proos, R-St. Joseph, represents southwest Michigan.