State Senator Howard Walker Proposes Tax Swap From Gas To Sales

My current Senator from Michigan, Howard Walker, is suggesting that roadwork could be better completed if the current 19 cent gas tax in Michigan would be discontinued and an increase in sales tax by 1% be implemented.  Michigan currently has a 6% sales tax.

The change would mean an additional $154 million in revenue for roads, according to Walker.   Citing loss of gas tax revenue and difficulty in managing since less gas is being used, Walker believes his solution would be more stable.

That is, of course until sales drop.

Although I’d like the gas tax done away with, it was only a year ago that a Republican from Michigan suggested an increase in gas taxes, and now Governor Snyder is looking to do away with the 19 cent gas tax and replace it with a wholesale gas tax.

Every time gas prices go up, due to the 6% sales tax, Michigan tax revenue goes up, but, that money doesn’t go to roads right now, the 19 cent tax is supposed to.

So this sets up a difference in how we think roads get paved.  If we all pay the sales taxes on everything, we are all paying for the roads, supposedly.

My reaction is, just use the money to build good roads as cheaply as you can, stop mixing the money, stop taking Federal tax dollars that create a base line that we cannot find enough money to cover in future years.  Also, oppose all environmentalist greed because if not for them, gas wouldn’t be so costly, asphalt wouldn’t be so costly, everything made from fossil fuels would be cheaper.

This quote made my blood boil a bit:

Ed Noyola, deputy director of the County Road Association of Michigan, questioned whether the tax swap would potentially make getting additional revenue in the future difficult, because it would require a ballot proposal and vote of the people.

“Right now, the legislature can decided when to raise those fees,” Noyola said.

Oh God forbid!  The people may not want to increase their taxes and make you work within your means?  A vote of the people!  What in the world?  Perish the thought!