Michigan Counties Receive Cuts in Governor's Budget

Michigan Counties set to lose $42 million

LANSING, Mich., Feb. 9, 2012 /PRNewswire-USNewswire/ -- During Governor Snyder's 2013 fiscal year budget report on Thursday it was recommended that Michigan counties be required to meet criteria to qualify for the $125.6 million in revenue sharing, a 25 percent cut from the statutorily scheduled payment required by law.

"Promises made are promises broken," said Deena Bosworth, Legislative Coordinator for the Michigan Association of Counties. "Counties have risen to meet the governor's challenge by being leaders in transparency, efficiency and government best practices; not only is counties' leadership not being recognized, they are being penalized."

Revenue sharing funds were first appropriated to counties in 1967 in exchange for giving up county taxing authority. These funds are used by counties to pay for state mandated services provided by the counties; such as courts, jails, public health and foster care.

Counties voluntarily went off revenue sharing in 2005 to help with the state's budget problems, based on the statutory promise of funding restoration, which saved the state over $1 billion. However, fulfillment of the statutory promise has repeatedly fallen short of the mark.

Counties saw a 24 percent cut to revenue sharing in fiscal year 2012, and this budget recommends even greater cuts, when an additional eleven counties were scheduled to return to revenue sharing payments in in fiscal year 2013. In addition to the cuts, counties will be expected to meet the Governor's criteria for the funds based on the Economic Vitality Incentive Program (EVIP).

"While other local government units are receiving an increase in constitutional protected revenue sharing, counties enjoy no such protection and are faced with an even greater cut than last year," said Bosworth. "This is another broken promise to the counties and the lack of consistent funding hurts our ability to provide dependable and efficient services to county residents."

The Michigan Association of Counties (MAC) founded on February 1, 1898, is the only statewide organization dedicated to the representation of all county commissioners in Michigan. MAC is a non-partisan, non-profit organization which advances education, communication and cooperation among county government officials in the state of Michigan. MAC is the counties' voice at the State Capitol, providing legislative support on key issues affecting counties.

SOURCE Michigan Association of Counties