BY LAURA WEBBER
Plans from state House Republicans
for the year include making
Republican state Representative
Chuck Moss chairs the House Appropriations Committee. He said it's important to
look at the long term investments that
"If you just take a snapshot of one year you say 'Our budget is balanced. Yay us!' The bottom line is, no, you have a drawer full of IOUs. Until you start projecting out you can start living in the future, and planning. You can see a little flame before it becomes a forest fire" said Moss.
House Democrats said they are open to looking at the effectiveness of all tax credits, but that working poor people should not be expected to give more than people who are better off.
State House
Republicans say it's time to make even more and deeper cuts to state spending.
Democratic House Minority Leader Rick Hammel said he agrees that all spending should be examined, but that people who are struggling financially should not bear the brunt of budget cuts.
"I certainly know that over the past several years we've talked about Earned Income Tax Credit as part of a package when it comes to looking at loopholes. But if they're just going to lay out Earned Income Tax Credit as the only way to try to help balance this budget without looking at other things that might affect people in a much better position, then we're going to have a big problem with that" said Hammel.
Republicans estimate that a repeal of the tax credit would save the state $338 million. Republican House Speaker Jase Bolger said he wants to finish the state budget by June 1.
© Copyright 2010 Michigan Public Radio Network