Proos proposes using budget surplus for income tax relief

Senator John Proos

Senator John Proos

General Fund spending has grown over $1 billion in last four years

LANSING, Mich. — Sen. John Proos announced on Thursday that a projected state budget surplus of more than $200 million should be used to reduce the state’s personal income tax.

“Michigan’s economy continues to recover and create jobs, and that is great news for all Michigan residents,” said Proos, R-St. Joseph. “We should remember that the expected increase in state revenues is a direct result of Michigan’s economic growth and having state government live within its means. We should use the projected surplus to provide tax relief to Michigan families — and not as a winning lottery ticket to fund more government.”

State fiscal leaders from the Senate, House and executive branch and economists from across the state met Thursday for the annual January Consensus Revenue Estimating Conference at the Capitol. Their economic and tax revenue projections are used to draft budget proposals for the next fiscal year, which will begin Oct. 1.

For the current 2017 fiscal year, state fiscal officials forecasted that Michigan will have $206.2 million more in total revenue than previously expected.

“I have done much to keep spending down. During my time as chair of the Senate subcommittee for the Corrections and Judiciary budgets, the Senate has passed $362 million in savings,” Proos said. “By being fiscally responsible with taxpayer dollars, we can invest more in key priorities while also putting money back into the pocketbooks of Southwest Michigan taxpayers.

“We have accomplished a tremendous amount since 2011 to improve Michigan’s economy and the fiscal health of our state. While Michigan’s comeback is largely due to proactive reforms, credit must also be given to our hardworking families and small business owners. They are the lifeblood of our state, and they have earned a break.”


Editor’s note: Audio comments by Proos will be available later on the senator’s website at