Sen. Cassis held the line on taxes in 2007, promoted early learning success, strengthened the building industry

As the year draws to a close, I look back on 2007 knowing Michigan citizens and therefore the state legislature faced many challenges. I am grateful and heartened that worthy goals were accomplished. At the same time, I wish we could have done more.  In the future we need to focus on meaningful government reforms and cultivating a better environment for businesses to prosper and create jobs.

As the capstone of last year’s legislative session, the repeal of the widely disliked and devastating Single Business Tax took center stage.  The first order of business for 2007 was finding the replacement for the SBT.  Starting in January, I set my sights on creating a new tax that would allow the small and medium sized businesses, the job providers in this state, to thrive. As a result, the Michigan Business Tax (MBT) includes the Michigan Entrepreneurial Exemption (ME-2) and a lower tax rate for businesses that qualify for the alternative business tax.  Recognizing that the MBT is not perfect and more needs to be done, I will continue looking for ways to support and stimulate the growing sectors of our economy.

Two other key programs that went into effect this year had their genesis in 2006. Last year, I wrote a law creating the SAVE the Children grant program administered by the Department of Education to prevent early learning failure. Unfortunately, in the spring of 2007 the governor repealed the measure—after signing it into law in 2006. This past September the Senate adopted one of my amendments placing the early intervention program back into the School Aid budget.  The amendment allows intermediate school districts to use operational funds to create a model program for their constituent districts.  The programs will focus on kindergarten through their-grade learners.  It will enable schools to identify problems early, intervene before children begin to struggle and fail, involve parents, and give students the skills they need to succeed both in school and in life.

Similarly, just last week the Senate unanimously passed a bi-partisan consumer protection package of bills I sponsored along with Sen. Ray Basham that will protect and advance the professionalism, ethics and integrity of the residential building industry while giving consumers greater confidence and security in those they hire. Senate Bills 450–453, known as the “Good Builders” legislation, are nearly identical to measures introduced in 2006. The bills clarify the state’s authority to go after unlicensed builders and offer strong consumer protections while protecting the reputation of good builders.  Those who fail to get their licenses and who scam the public could face fines, penalties and even jail time. The legislation now moves to the governor for her signature.

Of course, the big story out of Lansing this year was the budget. I only supported department budgets that stayed within the projected rate of inflation, 2.1 percent. The overall general fund budget could have been balanced, in my opinion, without major tax increases if it were caped at approximately a 2.1 percent increase.                                             

Hearing from my constituents lead me to push for reductions and reforms and to hold the line on taxes as answers to our budget problems. On three separate occasions I voted to do away with the ill-conceived service tax, which was finally repealed on Dec. 1. 

Unfortunately, some businesses spent a great deal of money preparing for the tax. It is unfair that companies should have to pay for an onerous tax that was repealed only a few hours after it went into effect.  That is why I have introduced legislation that will allow a tax credit for documented compliance costs.  

Thank you once again for allowing me to serve you as your state senator. There are many things that will need to be addressed in the New Year including finalizing legislation currently on the House floor that aims to protect residents living on certain gravel roads from increased speed limits, providing consumer protections for people purchasing gift cards, fully reinstating the entire SAVE program and correcting any unintended consequences that become issues as the MBT takes effect. 

I will continue to represent you and your interests and please continue to keep in touch with me.  I may be reached at any of the following: P.O. Box 30036, Lansing MI 48909; 517-373-1758; 1-888-386-2629; senncassis@senate.michigan.gov or visit my website at: www.senatornancycassis.com

Wishing everyone the very best of holidays and health and happiness in the New Year.

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State Senator Nancy Cassis, a Novi Republican, represents the 15th Senate District, which includes the townships of Commerce, Highland, Holly, Lyon, Milford, Novi, Rose, West Bloomfield and White Lake; as well as the Villages of Holly, Milford and Wolverine Lake; and the cities of Novi, Northville (the portion in Oakland County), Orchard Lake, South Lyon, Walled Lake and Wixom.