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Michigan Democrat wants businesses, trucks to pay more for road repair

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Michigan House Minority Leader Christine Greig says new ideas need to be brought to the table for how to fund road repairs in the state. She and her colleagues have introduced a proposal that would increase corporate taxes and institute a 6-cents-a-mile tax on heavy trucks and a bridge toll on tractor trailers. (AP: David Eggert)

LANSING, Mich. — With state Republicans lawmakers firmly opposed to a 45-cents-a-gallon fuel tax hike, Democrats want businesses to do more to help fix the state’s roads.

A new $1.2 billion proposal from House Democrats would raise the state’s corporate tax, create a new 6-cents-a-mile tax for heavy trucks and charge bridge tolls to tractor trailers. It also includes portions of Gov. Gretchen Whitmer’s budget plan, such as raising taxes on certain businesses so they are taxed the same as traditional corporations and restoring tax breaks for pensioners.

House Minority Leader Christine Greig said Democrats agree with the Democratic governor’s call for $2.5 billion in new revenue and know that a fuel tax increase would likely be part of any final deal.

“We just felt it was important that we brought other ideas in since we haven’t seen anything other than a shell game and shifting around revenue from the Republicans, but yet they’ve said that they’re not going to support a 45-cent gas increase. So let’s put some new ideas on the table to get us to the $2.5 billion,” she said Friday.

By releasing the plan, Democrats risked looking like they oppose Whitmer’s fuel tax hike, which Republicans, who control the Legislature, have said is going nowhere and which Democrats have not introduced as legislation. Greig said Democrats are “100% supportive” of generating new revenue and their proposal is based on feedback from constituents.

“We just think that if you’re really struggling to a negotiation, that implies that you bring a bunch of different ideas and come up with a compromise,” she said.

Some in the business lobby have said raising gasoline and diesel taxes is simple and fair because everyone pays, including companies that move goods or have employees on the roads. But Greig said what they pay is not “proportionate.”

“To attract business, to attract talent, to keep our communities strong that support businesses, we have to have good roads and bridges,” she said, noting that businesses saw a $1 billion-plus tax cut under a 2011 overhaul enacted by Republicans. “Since that happened, we’ve seen our roads and infrastructure deteriorate. We’ve seen our ranking in schools drop nationally. So something is not right. To put this all on the backs of individuals is shortsighted.”

Increasing the 6% corporate income tax to 8.5% and raising taxes on flow-through entities, Greig said, would lead to businesses paying $800 million more annually — but still less than they were before the 2011 change. Assessing a vehicle-miles-traveled tax on the two heaviest classes of trucks would generate $390 million from those who cause the most road damage, she said, while the bridge tolls — based on a unique program in Rhode Island — would raise about $50 million.

Road-funding and budget negotiations are expected to extend into the summer as legislators scale back their voting days starting this coming week.

Greig urged the business community to “come to the table and say, ‘We will accept contributing more directly to the solution.’”

Republicans and business groups oppose raising business taxes, however, saying lower taxes help the economy. To soften the impact of a 45-cent gas tax increase by easing the tax burden on seniors, Whitmer has proposed boosting taxes on 150,000 corporations, partnerships and limited liability companies whose income is passed through to the entities’ owners and taxed at the personal rate of 4.25 percent. The Senate’s Republican leader has called it “stupid.”

So far, the main component to emerge from Republicans’ road-funding work is a budget plan in the House that would ultimately ensure $850 million in sales tax being collected at the pump goes to roads, without raising taxes. The revenue now primarily is dedicated to schools and municipalities.

Greig said it is “confusing” that a portion of fuel taxes funds other priorities and she has no problem “cleaning up revenue streams.” But new revenue should be generated to replace it, she said.

“They’re not doing that. That’s the problem,” she said. “We’re basically doing it on the backs of local governments and kids, frankly.”

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2 Comments

2 Comments

  1. Craig Matte

    June 28, 2019 at 5:52 am

    Just another tax and spend Democrat. Surprised anyone? You shouldn’t be.

    • MrBigR504

      June 30, 2019 at 7:33 am

      Damn shame And a Dem from Michigan of all states talking about raising taxes? Michigan needs all the friends and businesses it can get right about now!

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The Nation

Love’s, its customers raise more than $3.75 million for children’s hospitals

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Love’s showed additional support for CMN Hospitals on National Coffee Day, which took place September 29-30 during the store campaign. To honor the day, all hot beverages were discounted to $1, with sales going to CMN Hospitals. (Courtesy: LOVE'S)

OKLAHOMA CITY — Love’s Travel Stops & Country Stores and its customers raised more than $3.75 million for sick and injured children through its five-week store campaign to raise funds for Children’s Miracle Network Hospitals. In the 20th year of the campaign, the company surpassed its goal of $3.6 million and set a company record for the most money raised during a campaign.

“We are so thankful to our employees and customers who not only donate at our stores, but who also go out of their way to raise money for sick and injured children in creative ways,” said Jenny Love Meyer, vice president of communications for Love’s. “Each year, we enjoy seeing communities come together for this effort and we couldn’t be prouder to have raised over $3.75 million for this year’s campaign.”

From August 26-September 30, customers could purchase Miracle Balloons, round up to the nearest dollar at registers or pumps or participate in events like 5k runs or fishing tournaments to donate money to CMN Hospitals.

Love’s showed additional support for CMN Hospitals on National Coffee Day, which took place September 29-30 during the store campaign. To honor the day, all hot beverages were discounted to $1, with sales going to CMN Hospitals.

“We are excited about the results of this year’s Love’s fundraising campaign,” said John Lauck, president and CEO of CMN Hospitals. “Not only did 2019 mark a 20-year milestone of partnership between Love’s and CMN Hospitals but more exciting, Love’s also crossed $31 million in donations to help sick and injured children treated in our hospitals across the U.S.”

Of the 170 CMN Hospitals throughout North America, 107 benefit from Love’s annual campaign.

 

 

 

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The Nation

Average price of gallon of diesel increase half a cent

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The price for the week ending October 14 was 34.3 cents lower than the comparable week in 2018. (The Trucker file photo)

WASHINGTON — The average price of a gallon of on-highway diesel increase four tenths of one cent to $3.051 for the week ending October 14, according to the Energy Information Administration of the Department of Energy.

Normally posted on Monday of each week, the average price chart was released Tuesday because the federal government was closed Monday for the Columbus Day holiday.

All but two regions of the country posted increases led by a 1.9 cent increase in the Rocky Mountain states (Montana, Idaho, Wyoming, Utah and Colorado).

The New England states (Maine, Vermont, Hew Hampshire, Connecticut, Rhode Island and Massachusetts) was the only region showing a decline at five tenths of one cent.

The price for the week ending October 14 was 34.3 cents lower than the comparable week in 2018.

 

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DeFazio asks IG to investigate reports of Chao’s conflicts of interest

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In requesting an investigation of Secretary of Transportation Elaine Chao, Rep. Peter DeFazio cites newly-obtained information from a recent media report that suggested Chao used her office to give preferential treatment to organizations and projects in Kentucky where her husband, Senate Majority Leader Mitch McConnell is currently seeking re-election. (ASSOCIATED PRESS)

WASHINGTON — The chairman of the House Transportation and Infrastructure Committee is requesting an investigation into Secretary of Transportation Elaine Chao and her reported conflicts of interest.

Rep. Peter DeFazio, D-Ore., made the request in a letter to Department of Transportation Inspector General Calvin L. Scovel III.

The letter, sent October 11, cites newly-obtained information from a recent media report that suggested Chao used her office to give preferential treatment to organizations and projects in Kentucky where her husband, Senate Majority Leader Mitch McConnell, R-Ky., is currently seeking re-election.

Politico reported that 25% of Secretary Chao’s meetings with local officials between January 2017 and March 2018 were with individuals from Kentucky.

DeFazio said the report noted that requests for meetings with Chao are typically forwarded from McConnell’s office to Chao’s chief of staff, who previously worked on McConnell’s Senate campaign, DeFazio wrote.

The Office of the Secretary of Transportation took exception to DeFazio efforts.

DeFazio said the Politico report followed an earlier report that Chao had asked her chief of staff to serve as an intermediary between her office and McConnell’s office, and that he had helped advise the senator and local Kentucky officials on federal grants of particular significance to McConnell.

“These allegations were first raised by left wing advocacy groups and hashed out in the media, and the department has previously fully responded to them. They are politically motivated and intended to waste time. While the Department will always be cooperative and responsive to appropriate requests, DOT looks forward to a prompt and final resolution of these questions,” a DOT spokesman told The Trucker Tuesday.

“Allegations included the steering of discretionary grants to fund these projects,” DeFazio wrote.  “I would expect Secretary Chao to meet with individuals from her home state more regularly than other states, but the sheer volume of meetings with local officials from Kentucky when compared to meetings with local officials from the rest of the country creates an appearance of favoritism that is troubling.  Even more troubling is the fact that McConnell’s campaign touted the Politico article on social media saying, ‘Mitch McConnell is a Kentucky Asset.’”

DeFazio said news reports have also raised questions about Chao’s adherence to her federal ethics agreement in which she agreed to divest certain assets to prevent her personal finances from creating conflicts of interest.

In particular, it has been reported that the secretary retained stock in Vulcan Materials, a stone and asphalt producer, as opposed to accepting a cash payment for her stock options in the company, as provided for in her ethics agreement.

 

 

 

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