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Governmental Affairs


February 2, 2005

 

KEY LEGISLATION:

Governor Seeks Support for Business-Tax Changes

Governor Jennifer Granholm is working hard to garner support for her
recently unveiled plan to restructure Michigan business taxes. MRA is among
the many targets of her lobbying effort: members of her administration and
other supportive groups are contacting us almost daily seeking our support
for the plan.

MRA’s position is that we cannot support the plan until we see specific
details and until we receive comments from our members on how they would be
impacted by the changes. MRA members should have their tax departments look
over the proposed changes that MRA distributed last week—and let us know us
how they would be affected. It is critical that we hear from members in the
very near future. Those needing additional information or wishing to respond
should contact Eric Rule, Director of Governmental Affairs, at 800.366.3699
or errule@retailers.com.

 

Michigan to Join SSTP Governing Board

State Treasurer Jay Rising announced that Michigan has sent in the required
paperwork to become an official member of the national Streamlined Sales and
Use Tax Agreement.

Michigan officials expect to be granted full voting rights once admitted as
a member of the governing board. Treasury officials indicate the board will
be formalized by July, with a fully functional Streamlined Sales and Use Tax
System in operation by October 2005.

 

Two GOP Members to Run Against Granholm

Two Republican lawmakers announced they will run against Gov. Granholm in
2006. State Senator Nancy Cassis (R-Novi) and State Rep. Jacob Hoogendyk
(R-Kalamazoo) held press conferences signaling their intent to challenge
Granholm.

Cassis is chair of the Senate Finance Committee. She cited a recent poll
conducted by Mitchell Research and Communications that reportedly showed her
trailing Granholm by just six points, 44-38.

Hoogendyk is more of a political unknown and just beginning his second term
in the legislature.

 

SUTA-Dumping Issue Begins to Move

SUTA Dumping legislation (Senate Bills 171-174) is headed for a second week
of debate next week in the Senate Commerce and Labor Committee. The measure
is designed to prevent companies from dodging some of their unemployment
taxes, a growing practice which state officials say costs the Unemployment
Insurance Trust Fund upwards of $95 million a year.

At issue is whether the current drafts go far enough to stop SUTA dumping in
Michigan and gives the administration enough tools to prevent it. MRA has
been involved with a business work group on this issue, and at this point we
are comfortable with the drafts. Should the administration prove that more
is needed to get at the problem, we will be open to suggestions to remedy
the problems.

 


KEY BILL INTRODUCTIONS:

SB 0117, sponsored by Sen. Michael Switalski (D-Roseville), to include
certain adjoining cities in neighborhood enterprise zone.

SB 0118, sponsored by Sen. Shirley Johnson ( R-Royal Oak), to revise state
convention facility develo9pment fund distribution.

SB 0122, sponsored by Sen. Liz Brater (D-Ann Arbor), to require equal
compensation for comparable work.

SB 0123, sponsored by Sen. Brater, to prohibit sale or use of blood pressure
recording devices that contain mercury.

SB 0124, sponsored by Sen. Patricia Birkholz (R-Saugatuck), to prohibit sale
of thermostat devices containing mercury.

SB 0126, sponsored by Sen. Ron Jelinek ( R-Three Oaks), to allow
differential pay for military service during military leave.

SB 0131, sponsored by Sen. Alan Sanborn (R-Richmond), to prohibit publicly
displaying or playing sexually explicit material.

SB 0133, sponsored by Sen. Sanborn, to prohibit use or sale of product used
for defrauding a drug test.

HB 4087, sponsored by Rep. Shelley Goodman Taub (R-Bloomfield Hills), to
create county licensing requirement for certain types of liquidation sales.

HB 4088, sponsored by Rep. Taub, to provide forfeiture remedy for failure to
obtain licenses for auction sales.

HB 4089, sponsored by Rep. Taub, to expand and revise licensing requirements
for auction sales.

HB 4110, sponsored by Rep. Glenn Anderson (D-Westland), to prohibit
reduction in benefits for certain individuals.

HB 4115, sponsored by Rep. Anderson, to require all costs incurred in
getting reinstated, all unpaid medical bills, and certain percentage
interest be paid if benefits of injured worker are reinstated.

HB 4116, sponsored by Rep. Bruce Caswell (R-Hillsdale), to impose limits on
soil erosion and sedimentation control inspections of private property.

HB 4127, sponsored by Rep. Leslie Mortimer (R-Horton), to increase amount of
homestead exempt from execution bankruptcy for persons 65 years and older.

HB 4128, sponsored by Rep. Mortimer, to provide for no tax liability and no
filing for certain businesses for limited period of time.

HB 4133, sponsored by Rep. Mortilmer, to repeal prohibition of process
service on Sunday and election day.

To view the content and current status of retail-related bills, visit BillTrack,
MRA's legislative tracking database exclusively for members, at
www.retailbilltrack.com


If you are currently receiving Capitol F@cts by fax and would like to receive
it via e-mail, please contact Kathleen Wilson at 517.372.5656 or
kawilson@retailers.com.


For back issues of online Capitol F@cts, visit MRA's main Capitol F@cts page.


Specific comments or questions regarding this bulletin should be directed to:
Kathleen Wilson, Administrative Assistant to the Governmental Affairs Office at
kawilson@retailers.com.
Michigan Retailers Association
603 South Washington Avenue
Lansing, MI 48933
517.372.5656
Toll-Free: 800.366.3699
Fax: 517.372.1303
govt_affairs@retailers.com
www.retailers.com
www.mallofmichigan.com