Analysis of Tax Proposals on the 1992 Ballot

The November 1992 general election in Michigan included two propositions regarding property taxes, Proposals A and C. This evaluation presents a detailed analysis of them, including projections for state and local government revenues. Widely cited in the press when released, it remains a useful guide to Michigan's property tax structure. The report makes a strong case that Michigan, which has the second highest property tax burden among twelve Midwestern states, sorely needs a property tax cut to spur economic growth and to stem the exodus of business from the state. 44 pages.

Contents

• Introduction to the Michigan Property Tax System
  • Michigan's Property Tax Burden
  • Tax Reduction and the Michigan Economy
  • Your Property Tax Bill Explained
  • The "Headlee" Amendment
• HJR H (Proposal A)
  • Executive Summary of HJR H
  • Description of HJR H (Proposal A)
  • Analysis
  • Revenue Projections
  • HJR H and the US Constitution
• Cut & Cap (Proposal C)
  • Executive Summary of Cut and Cap
  • Description of Cut and Cap
  • Analysis: The "Cut" in Property Tax Rates
  • Analysis: The "Cap" on Assessment Increases
  • Revenue Analysis
  • Examples of Typical Properties
  • Examples: Selected Michigan Counties and Cites
  • Distributional Effects of Cut and Cap
• Appendix I
• Appendix II
• Appendix III
• Appendix IV
• Appendix V
  • Text of the Proposals
  • INITIATIVE PETITION, AMENDMENT TO THE CONSTITUTION
• About the Author
• Endnotes