Bill Text: MI HJRJJJ | 2009-2010 | 95th Legislature | Introduced
Bill Title: Sales tax; collections; local option for a sales tax increase; allow, and earmark revenue into a transportation fund. Amends secs. 8 & 9, art. IX of the state constitution.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2010-08-25 - Printed Joint Resolution Filed 08/25/2010 [HJRJJJ Detail]
Download: Michigan-2009-HJRJJJ-Introduced.html
HOUSE JOINT RESOLUTION JJJ
August 24, 2010, Introduced by Reps. Donigan, Byrnes and Leland and referred to the Committee on Transportation.
A joint resolution proposing an amendment to the state
constitution of 1963, by amending sections 8 and 9 of article IX,
to allow the levy of a sales tax by local units of government, to
restrict the proceeds of that tax, and to allow local motor fuel
taxes to be dedicated to public transit purposes.
Resolved by the Senate and House of Representatives of the
state of Michigan, That the following amendment to the state
constitution of 1963, to allow the levy of a sales tax by local
units of government, to restrict the proceeds of that tax, and to
allow local motor fuel taxes to be dedicated to public transit
purposes, is proposed, agreed to, and submitted to the people of
the state:
ARTICLE IX
Sec. 8. Except as provided in this section, the Legislature
shall not impose a sales tax on retailers at a rate of more than 4%
of their gross taxable sales of tangible personal property.
Beginning May 1, 1994, the sales tax shall be imposed on
retailers at an additional rate of 2% of their gross taxable sales
of tangible personal property not exempt by law and the use tax at
an additional rate of 2%. The proceeds of the sales and use taxes
imposed at the additional rate of 2% shall be deposited in the
state school aid fund established in section 11 of this article.
The allocation of sales tax revenue required or authorized by
sections 9 and 10 of this article does not apply to the revenue
from the sales tax imposed at the additional rate of 2%.
No sales tax or use tax shall be charged or collected from and
after January 1, 1975 on the sale or use of prescription drugs for
human use, or on the sale or use of food for human consumption
except in the case of prepared food intended for immediate
consumption as defined by law. This provision shall not apply to
alcoholic beverages.
Beginning January 1, 2010, a county may impose on retailers a
sales tax at a rate of up to 1% of their gross taxable sales at
retail if approved by a majority vote of the qualified electors in
that county during an election held on the August regular election
date or the November regular election date as provided in section
641 of the Michigan election law, 1954 PA 116, MCL 168.641.
Proceeds of the sales tax imposed by a county at a rate of up to 1%
shall be used only for road construction and preservation; public
transportation operations and related infrastructure; and
nonmotorized transportation infrastructure, as approved by the
qualified electors in the county where the tax was collected. In
addition to any other requirements imposed by law, the ballot
question proposing the authorization of the tax shall specifically
state how the proceeds of the tax shall be distributed.
Sec. 9. All specific taxes, except general sales and use taxes
and regulatory fees, imposed directly or indirectly on fuels sold
or used to propel motor vehicles upon highways and to propel
aircraft and on registered motor vehicles and aircraft shall, after
the payment of necessary collection expenses, be used exclusively
for transportation purposes as set forth in this section.
Not less than 90 percent of the specific taxes, except general
sales
and use taxes, and regulatory fees, registration fees, and
local motor fuel taxes that are dedicated to public transportation
and related infrastructure and nonmotorized transportation
infrastructure, imposed directly or indirectly on fuels sold or
used to propel motor vehicles upon highways and on registered motor
vehicles shall, after the payment of necessary collection expenses,
be used exclusively for the transportation purposes of planning,
administering, constructing, reconstructing, financing, and
maintaining state, county, city, and village roads, streets, and
bridges designed primarily for the use of motor vehicles using
tires, and reasonable appurtenances to those state, county, city,
and village roads, streets, and bridges.
The balance, if any, of the specific taxes, except general
sales and use taxes and regulatory fees, imposed directly or
indirectly on fuels sold or used to propel motor vehicles upon
highways and on registered motor vehicles, after the payment of
necessary collection expenses; 100 percent of the specific taxes,
except general sales and use taxes and regulatory fees, imposed
directly or indirectly on fuels sold or used to propel aircraft and
on registered aircraft, after the payment of necessary collection
expenses; and not more than 25 percent of the general sales taxes,
imposed directly or indirectly on fuels sold to propel motor
vehicles upon highways, on the sale of motor vehicles, and on the
sale of the parts and accessories of motor vehicles, after the
payment of necessary collection expenses; shall be used exclusively
for the transportation purposes of comprehensive transportation
purposes as defined by law.
The legislature may authorize the incurrence of indebtedness
and the issuance of obligations pledging the taxes allocated or
authorized to be allocated by this section, which obligations shall
not be construed to be evidences of state indebtedness under this
constitution.
Resolved further, That the foregoing amendment shall be
submitted to the people of the state at the next general election
in the manner provided by law.
