The Detroit Free Press has reported that Gov. Jennifer Granholm vetoed legislation to cut taxes and limit regulation on state business Friday, a move the Democratic governor described as prudent and necessary and Republican lawmakers said proves she’s not serious about creating jobs.
Proponents said the two measures were a way for Michigan policymakers to show they were serious about improving the job and business climate.
The first would have provided cuts in the Single Business Tax for up to 35,000 small-business owners. The second precluded state regulators from enacting new ergonomic standards for the workplace; business groups feared standards would be complicated and expensive.
But in her veto messages, Granholm said the Single Business Tax cut was a piecemeal approach to business tax reform and would result in “a significant reduction in state revenues.”
She said she would support reform or even elimination of the SBT “in a positive way that does not threaten important services for Michigan citizens.”
The ergonomics ban was “a solution in search of a problem,” Granholm said.
Legislative action before the completion of an internal review of the issue that has been under way for several years would be premature, she said.
Senate Majority Leader Ken Sikkema, R-Wyoming, was swift and harsh in his reaction to Friday’s vetoes.
“The governor had an opportunity to prove that what she says and what she does are the same thing.
“Instead, she vetoed two critical bills for job providers and in the process vetoed her credibility,” he said.
Source: Detroit Free Press