Matt Bach, Director of Media Relations
Michigan Municipal League
FOR IMMEDIATE RELEASE: May 28. 2013
Final 2014 State Budget Agreement Starts Process of Restoring Massive Cuts to Local Revenue Sharing
This statement is from Daniel Gilmartin, CEO and executive director of the Michigan Municipal League. Gilmartin is commenting on the final 2014 state budget agreement approved this morning by the state’s conference committee. The agreement begins the process of restoring more than a decade of cuts to local revenue sharing—totaling more than $6 billion in the past 12 years—made by state legislatures and governors. The 2014 state budget agreement includes a 4.8% increase in statutory revenue sharing for local communities.
“We are genuinely grateful to legislative leaders and Gov. Snyder for restoring a small portion of the cuts made by legislatures and governors to local revenue sharing over the past dozen years,” said Gilmartin, noting that the state has cut local revenues and used the funds to fill holes in the state budget, to reduce taxes, and for other state programs and services. “We will continue to seek additional restorations in future state budgets so local communities can also begin to share in the state’s economic recovery, just as the state budget is doing. The massive cuts to local revenue sharing have combined with other fiscal calamities, including slumping real property values, to decimate the finances of many local communities.
“When we need a cop or a firefighter at our homes or businesses, we don’t call the state capital. We call our local public safety agencies, which are largely funded by revenue sharing. When we turn on the faucet at our sinks, the water is clean largely because of revenue sharing funds. When young people are looking for great places to live, work and raise families and corporations are looking for places to locate and expand, they seek places that can deliver essential public services and that provide lifestyle attributes such as parks, art, culture, transportation alternatives to driving, and more. We hope this budget marks the start of a policy of reinvesting in Michigan cities and the end of the state’s policy of disinvestment and broken promises.”
Michigan Municipal League advocates on behalf of its member communities in Lansing, Washington, D.C., and the courts; provides educational opportunities for elected and appointed municipal officials; and assists municipal leaders in administering services to their communities through League programs and services.