State budget crisis

State budget crisis
leaves residents
uneasy, dissatisfied
By Alissa Schafer
The Saint Reporter

What do baby shoe bronzing,
singing telegrams and janitorial
services all have in common?
They are three of the services that
will now be taxed as a result of
Michigan’s overdue budget.
While most of the state was fast
asleep on Sept. 30, state senators
were still at work in Lansing. The
marathon senate session, ripe with
debates, fatigue and high emotions,
continued as politicians tried to
agree on a budget before the
midnight deadline.
Despite the previous nine months
of budget work, an agreement was
not reached by the deadline —
causing a four hour partial state
shutdown.
A state budget is required to
authorize all government spending.
Michigan’s fiscal year ended on Sept.
30, thus requiring a new budget to
be in place by Oct. 1 in order to
operate any state service.
This includes Secretary of State
offices, rest areas, social work,
lottery sales, state parks, police
services and many others that would
have become quickly obvious had
the shutdown lasted past the early
morning.
The final vote on the new budget
came in at 4:18 a.m. Monday
morning, prompting weary
politicians to break out into
applause.
“This budget agreement is the
right solution for Michigan,” said
Gov. Granholm in a statement.
“We prevented massive cuts to
public education, health care and
public safety while also making
extensive government reforms and
passing new revenue.”
However, everyone is not
pleased. The new budget raised
income tax from 3.9 percent to 4.35
percent and attached a six percent
sales tax to dozens of services,
ranging from landscaping to psychic
readings.
Rep. Craig DeRoche (R) is one of
many opposed to the higher taxes.
“I think it sets back Michigan’s
economy,” said DeRoche.
Changes to teacher and state
worker health benefits are also a
concern.
Unhappy business owners and
consumers alike are already plotting
a repeal of the newly passed taxes.