Ironwood Daily Globe, Ironwood, Michigan, USA | News -
[Cached Version]
Published on: 2/26/2004
Last Visited: 2/26/2004
BESSEMER -- Two budget initiatives in Lansing may cut revenue to Gogebic County government by nearly $600,000 per year, county treasurer Sharon Hallberg told the county board of commissioners Wednesday.
The first will, in effect, eliminate an annual $300,000 in state revenue sharing.A second cuts personal property taxes, costing the county an estimated $296,707.
Hallberg recently attended a Michigan Association of County Treasurers meeting which shed further light on a budget proposal by Gov.
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According to Hallberg, the plan won't help Gogebic County.
"The governor should just come out and say 'We're taking away the counties' revenue sharing,'" she told the Daily Globe.
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That levy would be put into a reserved bank account that we would draw down," said Hallberg."In our county, we would draw it down for the next 7 1/2 years, instead of revenue sharing.That would be our revenue sharing payment."
Gogebic County has only a $300,000 general fund balance, Hallberg said.
"We would no longer have our December levy, so we would have no operating capital to work with until next July," Hallberg said.
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Hallberg said general opposition to personal property taxes -- and the relative difficulty of assessing and collecting them -- may be driving a proposal to cut property tax assessments by the first $10,000 of tax value.
Wakefield Township, home of a ski resort and several pipelines, would see collections drop by an estimated $100,000, according to figures supplied by the county equalization department.
"Personal property typically is owned by businesses," said Hallberg.
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"This hurts us and it isn't going to help the state," Hallberg told county commissioners.
Hallberg said the revenue sharing plan is a burden on taxpayers and full of complications.The change would, for instance, leave cities with almost no taxes to collect during the winter cycle.
"They're going to charge me for the extra work," she said."I don't blame them."
"I see it as creating a burden for the taxpayer," Hallberg said.
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Hallberg said richer counties, with big fund balances, may do well under Granholm's plan.
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Hallberg will participate.
"If (the governor) wants to collect a July levy, this has to be on a fast track because treasurers need to know what they're doing," Hallberg said.