What gives? The new transportation tax that kicked in Jan. 1, 2017 will add $460 million to the state bank account this year.
“Yet the state transportation budget will only have $160 million more this year for road repairs, not $460 million. That is because the Legislature shifted funds out of the transportation budget just as new tax revenues were coming into it,” reports Michigan Capitol Confidential.
According to their online article, Michigan moves money back and forth between funds, like in this example, all the time.
So is the practice OK as long as the Van Buren Road Commission get their money … sooner or later? Or is it a bad habit that deserves more attention than it currently gets?
See www.michigancapitolconfidential.com/where-the-money-from-higher-transportation-taxes-goes to learn more about this problem.
by Chuck Williams