Fees — Key Facts
State revenue sharing for municipalities, as well as state funding for schools, community colleges, universities and many other programs has decreased significantly over the last decade. These same institutions will be asked to bear the increased burden of any new surcharge for all of the waste they send for disposal.
Additional tax burden on Michigan taxpayers to the tune of approximately $155 million per year. With the tightening of budgets and the lack of state subsidies, municipalities, public schools, universities, and businesses can ill afford the additional tax and will ultimately be forced to raise taxes, fees and the cost of goods sold.
A substantial impact on goods and services. The commercial and industrial sector, universities, community colleges and public schools, hospitals, travel and tourism, and even the government amongst many others will see their cost of doing business in Michigan rise. In the long run, they all will pass this increase along to their consumers.
We, as taxpayers, will pay TWICE.
Tax will not be imposed upon incinerators. A major destination of waste will be exempt from the application of this trash tax yet those who send their waste to incinerators will receive the benefits of the revenues.
Punishes communities and businesses already funding their own recycling programs by imposing a new tax for services already provided.
Eleven (11) counties (out of 83) will pay 53% of this tax. These same 11 counties currently have the highest rate of recycling in the State. These 11 counties are already collecting fees to fund their recycling programs.
This bill will not limit out of state waste. In other states where such a tax has been imposed, the waste industry increased their tipping fees to help offset those contracts, which prohibited passing governmental surcharges. Hence, the taxpayers of that state ended up paying more than those from out-of-state.
Surrounding states, which do not want to become the recipients of the waste currently going into Michigan landfills, will more than likely adjust their fees to the same level that Michigan does. The means, that prices for the same services rendered will increase and Michiganders will pay MORE for traditional waste services.
Recycling must be economically viable and not subsidy dependent. Raising taxes on trash is an inappropriate way to address the State’s recycling goals and will have long-term, adverse effect on Michigan’s economy. Recycling will work most effectively when the population understands and utilizes recycling behaviors as a lifestyle choice.
A trash tax makes key environmental programs in Michigan dependent on trash imports and waste generation. It creates an incentive to increase waste disposal and importation. Those community programs funded by this tax will be subsidy dependent. This bill positions Michigan to view out of state waste as a growing revenue source and recycling as a drain on that revenue.
A trash tax is like the tail wagging the dog. We need to start at the beginning of this cycle, not at the end. We must first recognize the need to design products for recyclability, provide incentives for market development and promote accountability.
What will $7.50/ton for your solid waste do to your budget?
