HomeMy WebLinkAboutResolutions - 1995.06.08 - 24481REPORT (Misc. #95172) June 8, 1995
BY: Finance and Personnel Committee, John McCulloch, Chairperson
RE: Board of Commissioners-Oppose HB4378 and HB4379-Eliminate
Personal Property Tax
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
The Finance and Personnel Committee, having reviewed the
above-referenced General Government Committee resolution on June 1,
1995, reports with the recommendation that the resolution be
adopted.
Chairperson, on behalf of the Finance Personnel Committee, I
move acceptance of the foregoing report.
FINANCE/AND PERSONNEL COMMITTEE
June 8, 1995
MISCELLANEOUS RESOLUTION #95172
By: General Government Committee - Kay Schmid, Chairperson
In Re: BOARD OF COMMISSIONERS - OPPOSE HB4378 AND HB4379 -
ELIMINATE PERSONAL PROPERTY TAX
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS Representative Willis Bullard has introduced HB4378,
eliminating personal property tax, and HB4379, permitting local
assessing units to exempt personal property from the tax rolls;
and
WHEREAS the Business Caucus of the Personal Property Tax
Forum, commissioned by Representative Bullard, has submitted a
proposal to phase out the Personal Property Tax over a ten-year
period offset by the growth in the general property tax base, and
WHEREAS the Personal Property Tax comprises 9.3% of Oakland
County's State Equalized Value (SEV), generating almost $13
million in General Fund Tax Revenue; and
WHEREAS local units of government throughout Oakland County
rely heavily on Personal Property Tax revenue, cities average
11.5% of their tax base and townships 5.5%, generating $32
million and $4 million, respectively; and
WHEREAS the rush to eliminate the Personal Property Tax does
not take into consideration recent legislative changes improving
the business climate in Michigan, e.g., adoption of Proposal A,
establishment of the Michigan Economic Growth Authority (MEGA),
phase-out of the Intangibles Tax, and changes in Workers'
Compensation, Unemployment Compensation, and the Single Business
Tax (SBT); and
WHEREAS a phase-out proposal with no viable replacement
revenue would be devastating to local tax jurisdictions and
require a tax shift to residential property owners, reversing the
intended impact of Proposal A.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board
of Commissioners opposes enactment of HB4378, eliminating
Personal Property Tax, and HB4379, permitting local assessing
units to exempt personal property from the tax rolls.
BE IT FURTHER RESOLVED that, before any support can be given
to change the current Personal Property Tax System, the following
prerequiRitps must be met:
1) Objective, empirical, and conclusive evidence must be
put forth, by a neutral party such as the Citizen Research
Council, clearly documenting that a problem with the
economic climate in Michigan truly exists and that
elimination of the Personal Property Tax will enhance this
State's competitive position in relation to other Great
Lakes States.
2) A stable, fair and undeistaadable replacement revenue
must be identified, enacted and given constitutional
protection for all local units of government impacted by the
elimination of the Personal Property Tax,
3) Any proposed substitute for the Personal Property Tax
must consider the business community's responsibility for
paying for the local public services which it uses.
Chairperson, on behalf of the General Government C mittee,
I move adoption of the foregoing resoluyi,dh.t move adoption of the foregoing resoluyi,dh.
U(,_AIWzt
Genrai/Gover'nment -Committee
BE IT FURTHER RESOLVED that a certified copy of this
resolution be submitted to Oakland County's state legislative
delegation and the Governor, the leadership of the state House
and Senate, the Michigan Association of Counties, as well as all
of Oakland County's local units of government.
Kay S4mid, Chairperson
Resolution #95172 June 8, 1995
Moved by Schmid supported by Amos the Finance and Personnel Committee
Report be accepted.
A sufficient majority having voted therefor, the report was accepted.
Moved by Schmid riiippn-tpd by Amos the resolution be adopted. (Wolf stated
the General Government Committee vote indicated a unanimous vote. The correct
vote should show Wolf, Taub, Powers and Law voting "No".)
Vote on resolution:
AYES: Kaczmar, Kingzett, McPherson, Pernick, Quarles, Schmid, Amos, Crake,
Dingeldey, Douglas, Holbert, fluntoon, Jacobs. (13)
NAYS: Johnson, Law, McCulloch, Moffitt, Obrecht, Palmer, Powers, Taub,
Wolf, Devine, Garfield, Jensen. (12)
A sufficient majority having voted therefor, the resolution was adopted.
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lynn D. Allen, Clerk of the County of Oakland, do hereby certify that the
foregoing resolution is a true and accurate copy of a resolution adopted by the
Oakland county Board of Commissioners on June 8, 1995 with the original record
thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed
County of Oakland at Pontiac, Michigan this 8th day o4 Julie 19
the seal of the
apc
Lynn/D.' Allen, County Clerk