Skubick: Tax rollback standoff stalls road funding deal

LANSING, Mich. (WLNS) – There were no talks today on the road fix package as there’s a major disagreement over including an income tax rollback in the plan.

Just when it looked like the governor and legislative leaders were close to a road deal, the House Democratic leader objected to a Republican plan to roll back the income taxes he says he’s been saying that for a long time.

But that was a surprise to the Republican leader Sen. Arlan Meekhof “it’s the first I heard of it yesterday.”

To which House Democratic leader Rep. Tim Greimel responded “Well, as he well knows, I’ve been bringing up this concern uh for many weeks now.”

The House Democratic leader is afraid if you roll back the income tax rate that could result in cuts to education, public safety and public health even though the Republicans contend there are safeguards in the package to avoid that.

Mr. Greimel also argues there’s a tax cut in here for the rich. “Their approach of combing a gas tax and registration fee hike with an income tax rate cut would give a net tax cut to millionaires and a net tax increase to everybody else,” Rep. Greimel argues. “Uh, that’s the wrong approach.”

And Sen. Meekhof answers back with “the people that earn the most probably do get the most back because they get the tax break.”

The governor scrubbed the meeting set for today as it appears the talks have now entered the cooling off stage even though many sources continue to argue they are very close to a final deal, if this tax roll back issue can be resolved.

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