Legislative Priorities

Revenue Sharing | Mobile Homes | Act 51 Road Funds/Transit | Land Use | Recall

Revenue Sharing - Stability in Funding for Local Governments

The Grand Valley Metro Council (Executive and Legislative Committee of the GVMC) urges the Michigan Legislature to support full funding of the 1998 Revenue Sharing Formula.  

Through this formula - devised by the Michigan Legislature - county, city, village and township governments receive a percentage of the State of Michigan sales tax.   Local governments rely heavily on this funding for critical services such as police and fire protection, preservation of public services at the most basic level.

Under the formula, local revenue sharing funds increase or decrease along with swings in the State economy.   When sales tax collection is up, revenue sharing funds are up.   When the economy is down, revenue sharing is automatically cut.   Unlike other items in the budget, which require a budget adjustment to take funds away, revenue sharing is cut every time there is a ripple in the economy.   Cuts in addition to the automatic formula fluctuations result in a "double dipping" or "double slashing."  

Mobile Homes  

The Grand Valley Metro Council recognizes the need for low cost or easy entry housing for many of its citizens.   While it supports endeavors to supply this housing, it is also concerned about creating safe, sensibly planned and zoned parks, and revamping the taxation system which will allow local governments to receive adequate revenue to help pay for the high burden on public services.

Planning Difficulties - The number of mobile home parks is growing at a huge rate.   Although communities can go to great lengths to anticipate future growth, planning and zoning are often undermined as parks containing hundreds of units move in. Planning for public services is handicapped because of the unpredictable and sudden influx of large numbers of people into new mobile home parks.

Taxation / Recovery of Cost of Public Services - Mobile homes are taxed in Michigan, but the money doesn't go where it is needed to support public services.   State of Michigan mobile home legislation dates back to the Depression.   At that time, a fee of $1.50 per month was set for all mobile home owners.   The fee was raised to $3 in the 50's and hasn't been raised since.   (At that time, $36 - one year's fees - was approximately equal to the annual property tax of a comparable house.)     Of that $3 fee, $2 goes to Lansing for schools, with only $.50 going to the township and $.50 to the county. Sales tax is collected from mobile homes owners each time a unit is sold, but this goes to the State for revenue sharing, and not back to local governments.   Public services (including school systems, police, fire, water, etc.) are often compromised because local governments don't receive adequate reimbursement for their services.

Conflict of Interest / Overstepping of Powers - The Mobile Home Commission is heavily weighted toward mobile home industry interests, without adequate representation from local government and service providers.   Many of the Commission's members have financial interests in the mobile home industry, therefore the  decisions they make cannot be considered objective. The Mobile Home Commission's authority should be limited regulating industry related matters such as the manufacturing of the homes, leaving the zoning and approval of parks to locals.  

The Grand Valley Metropolitan Council Advocates :

• Eliminating or changing the composition of the Mobile Home Commission, adding representation from local government and reducing that of the mobile home industry.   Members of the Mobile Home Commission should also be prohibited from having financial interests in the manufactured housing industry.
  
  
• Changing to a property tax and eliminating the sales tax to ensure revenues go to local government to support services, creating equity in contribution to local services for all types of housing.
  
  
• Creation of strong master plans by local governments - They are much more enforceable, especially if they include areas for mobile home park development.
  
  
• Requiring site plan review and approval by local govt. authority.
  
  
• Creative problem solving.   Negotiation with park developers to cooperatively develop solutions.

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Act 51 Road Funds/Transit

Equitable distribution of funds.   Any increase in taxes (example: diesel fuel tax) should be subject to the Act 51 distribution formula.

Land Use

Coordinated Planning Act, Annexation Detachment - collaboration among communities regarding planning and development.

GVMC supports cooperation and collaborative planning among communities, and the unifying of zoning and planning codes, except where it oversteps the bounds of local control and results in a cookie cutter, one size fits all, situation.

Recall

The Grand Valley Metropolitan Council supports the right of citizens to initiate a recall vote.   However,   a recent rash of recall petitions has made it clear the issue needs to be seriously examined, including clarifying the laws regarding how and when a recall can be requested.

The right of recall is a necessary tool in ensuring the accountability of elected officials.   However, in many cases, the lack of parameters or regulations regarding the process gives undue power to a small minority of people, and does not adequately represent the will of the majority of the citizenry.   The Grand Valley Metro Council supports recall reform which would 1). Clarify the reasons a recall can be initiated and 2). Specify that the number of votes necessary to recall an official must be at least one vote more than the number of votes cast in favor of the official at the election for that office.

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