Tax cut legislation includes property tax reimbursements for counties

In swift action this week, the House and Senate put forth and passed an income tax cut bill that would also allocate funding to local governments for their losses due to the veterans property tax exemption. Such reimbursements are a key MAC policy priority in 2022.

Under House Bill 4568, by Rep. Matt Hall (R-Kalamazoo), the state’s income tax rate would fall from 4.25 percent to 4 percent in 2023. The legislation also increases deductions for seniors, tax credits for dependent 19-year-olds and the Earned Income Tax Credit.

As far as the reimbursements for veterans property tax exemptions, the plan is consistent with and tie-barred to Sen. Jon Bumstead’s plan in Senate Bill 784, a plan which is supported by MAC, other local government associations and the veterans group. See previous coverage on the legislation by clicking here. To send a message of support for Bumstead’s legislation, click here.

The tax proposal passed both chambers and will be sent to Gov. Gretchen Whitmer in a matter of days for her consideration. However, a vote on Senate Bill 784 has not taken place in the House yet due to the constitutional rule for a five-day layover in a chamber before lawmakers can take action on it. 

From all indications, the Whitmer administration and the legislative Democrats would prefer a very different tax relief option. So, this legislation will likely be struck by the governor’s veto pen.

For more information on this issue, contact Deena Bosworth at bosworth@micounties.org.

 

Michigan voters to rule on changes to legislative term limits

The Michigan Legislature approved a ballot proposal this week that would let voters decide on term limit changes to House and Senate members in November. The House voted in favor, 76-28, of the proposal and the Senate voted in favor the same day, 26-6. Both chambers gave approval without debate or discussion.

Advocates would have needed to collect 425,000 signatures to move to the ballot had the Legislature not acted. The proposal also includes changes to financial disclosure requirements of the Legislature; however, language passed by both Legislature requires far fewer financial details than what has been called for by activists. 

Under the existing constitutional term limits approved by voters in the 1990s, an individual can serve a total of 14 years at the State Capitol, with a maximum of three 2-year terms in the House and two 4-year terms in the Senate.

Under the ballot proposal this fall, the total years would be reduced to 12; however, an individual could serve all of those years in a single chamber.

The proposal does not have any effects on the number of terms a person may serve as a county commissioner.

MAC is reviewing the approved language and has not taken a position on it.

For more information on this issue, contact Deena Bosworth at bosworth@micounties.org.

 

FOIA bills threaten integrity of public bodies

Legislation that alters the Freedom of Information Act in ways detrimental to county government will be up before the House Committee on Oversight (Chair Steve Johnson) next week and MAC needs your voice to urge the House to set aside this ill-advised package.

Among the problems in the package are provisions to impose penalties on public bodies when mistakes are made, an inevitable increase in costs for compliance with the act and the removal of the anonymity of volunteer task force members when serving their communities. 

House Bill 5921, by Rep. Steve Johnson (R-Kent), limits the reason for FOIA request denial to only the ones(s) stated in the beginning. This amendment could have the unintended consequences of releasing protected records if someone didn’t catch the right exemption the first time and could potentially force a local agency to violate other laws. MAC anticipates an amendment that will also require a $500 penalty payable to the requestor should a public body deny a request for the wrong reason. 

House Bill 5923, by Rep. Greg VanWoerkom (R-Muskegon), requires the public body to acknowledge that exempt records exist and provide a description of the record. These amendments will likely require public bodies to consult legal counsel in each record request denial. In addition, this change has the potential of exposing private information that the law was originally intended to protect, especially in cases of mental health allegations, sexual assault allegations, legal opinions and law enforcement investigations, these disclosure requirements undermine the intent of the privacy exemptions. 

House Bill 5924, by Rep. Andrew Fink (R-Hillsdale), requires that a record in the possession of outside legal counsel be considered to be in the possession of the public body. This amendment blurs the line over what is FOIA-able in an outside legal practice.

House Bill 5925, by Rep. Bryan Posthumus (R-Kent), allows for civil actions regarding the determination of whether the record is considered primarily for the public benefit and therefore should not be subject to fees for compiling the record. Again, these amendments would open the floodgates of litigation against public bodies, especially by the press who would claim public benefit for every request. Then the public body would likely have to absorb the entire cost of fulfilling these requests to avoid litigation.

MAC is opposed to these bills as written and urges county leaders to use our advocacy platform to send a pre-drafted message of opposition to your House member before next week’s hearings.

For more information on this issue, contact Deena Bosworth at bosworth@micounties.org.

 

By Will Hansen/Communications and Marketing Intern

In 1980, Doug Johnson was four years into ownership of his father’s company, Mid-North Printing, in Gaylord. Living and working in a county seat of just 3,000, Johnson already knew several county commissioners and the importance of public service.

So, when a vacancy occurred on the Otsego County Board, Johnson said, “I thought, ‘It’s easy to sit on the sidelines and complain about something.’ (This is my) chance to get in there and make a difference.”

And that he has kept doing – through hundreds of board sessions, 40-odd county budgets, seven U.S. presidents, six Michigan governors and five Masters titles for Tiger Woods. In the process, Johnson has now become the dean of Michigan’s county commissioners.

In late 2021, MAC undertook a survey of continuous office tenure for all of Michigan’s county commissioners. Johnson, now in his 42^nd year of service, topped the list.

The challenges of public life came early in Johnson’s tenure, he said, when Otsego was faced with what to do with a 600-acre piece of property that once housed a state hospital. “Since (purchasing the land from the state for $1), the county has been able to revitalize the acreage into a new high school, a community college and the Health Department, which haven’t cost taxpayers anything,” Johnson explained. “People didn’t agree with the move at the time, but since then it’s developed into quite a savings over the years, and I’m proud of that.”

Johnson, of course, has witnessed firsthand just how the responsibilities and routines of county government have changed between the 20^th and 21^st centuries. “It’s definitely gotten harder,” he said. “People are less patient and more frustrated.”

He’s also seen a change in how public servants are perceived and public life is conducted.

“It used to be you could respect one another and disagree and walk out of the meeting knowing that you disagreed on that, but leave it at the door,” he explained. “It’s just I sense a lot of frustration, which I can understand. But a lot of disrespect, if you will, and rudeness from the general public that I didn’t see 10 or 20 years ago.

“People’s attitudes change towards you once you get into office,” he added. “They are not always going to agree with you. And it’s always a challenge to help them understand why you do what you’re doing, and you’re doing what you think is right for the majority of the people that you serve. I’ve actually lost customers because of something that I took some action on, but I guess if that’s the type of people they are I don’t need them for customers.”

Through all these years, all those meetings, what keeps Johnson going?

“It is still important for me to continue to serve,” he replied. “There is still important work to be done, and ways I can still make a difference to be valuable to my constituents.”

Not content to contain his service to Otsego, Johnson leads the Board of Trustees for Michigan Counties Workers’ Compensation Fund and serves on the board of the Michigan Municipal Risk Management Authority.

Outside of public life, Johnson recently celebrated his 50^th wedding anniversary with wife Sherry. They have three children and nine grandchildren. In what free time he has, Johnson loves to golf, fish and hunt – and for the past 13 years he’s been a member of a curling club.

Johnson named Ernie Harwell and Arnold Palmer as two inspirational figures in his life. “I met Ernie a couple of times,” he said. “I’ve had the opportunity to sit in meetings with him and have been able to have a conversation with him afterwards. He was inspiring, had great focus and knew how to treat people with respect.” Johnson also met the golfing great Palmer while at a tournament with his family: “We were invited to a dinner party after the tournament and my family was able to sit with him at his table.”

For those interested in starting a public career, Johnson advised, “Stay focused on the work and be true to yourself, your beliefs and your values.

“It is important to be honest and dependable and follow through on your promises; also, accept the fact that not everybody is going to agree with you and to not beat yourself up over it.”

MAC applauds Senate work on revenue sharing; House plan disappoints

A 10 percent boost in county revenue sharing took another step to enactment this week when the Senate Appropriations Committee passed out the fiscal 2023 General Government budget.

Senate Bill 831, by Sen. Roger Victory (R-Ottawa), calls for a 5 percent ongoing increase in revenue sharing and a 5 percent one-time bump. The budget bill mirrors the governor’s recommendation on county revenue sharing of $243 million for FY23.

The House Appropriations Committee also passed out its General Government FY23 budget this week. House Bill 5783, by Rep. Greg VanWoerkom (R-Muskegon), however, does not support the governor’s recommendation. Instead, it calls for a one-time increase of 1 percent in revenue sharing and a 1 percent ongoing increase.

Although MAC appreciates any increase in revenue sharing for counties, the House recommendation is a disappointment and does not help rectify decades of underinvestment. MAC applauds the Senate Appropriations Committee for supporting the governor’s recommendation to include an unprecedented increase in revenue sharing for counties.

Both bills sit on their respective chamber floors, with votes expected next week. According to statute, the state budget must be finalized by July 1 each year for the new fiscal year that begins Oct. 1.

For more information on this issue, contact Deena Bosworth at bosworth@micounties.org.