Posted on 04/19/2007 1:30:42 AM PDT by Westlander
LANSING, Mich. (AP) - Michigan's already battered state budget stands to lose more than $1.5 million in annual fees because of changes being made by Comerica Inc.
Comerica officials announced earlier this year that the company, founded in 1849 as Detroit Savings Fund Institute, plans to move its headquarters from Detroit to Dallas by fall.
The company also has applied for a national charter, meaning bank regulators in Michigan no longer would oversee Comerica even if it kept its headquarters in Detroit.
That change alone means the state may be unable to collect supervisory fees charged annually by the Michigan Office of Financial and Insurance Services.
The loss represents another blow for the financially troubled state that is seeing revenue slip by tens of millions of dollars from a year ago. The state budget faces a hole that could approach $1 billion in the current fiscal year and a shortfall of at least that much in the budget year that starts Oct. 1.
(Excerpt) Read more at wxyz.com ...
Comerica was a fixture in Detroit. Now it will be a fixture in Dallas.
I’ve lived in MI most of my life. It’s painful to watch the Democrats led by Granholm pull out their tax and spend solutions to fix the economy. History repeats itself, and the Democrats must ignore history or they would have to face the fact that they are complete and utter failures. Their policies to tax everything that is not currently taxed, and raise taxes on everything that is taxed will continue to drive away businesses, residents, college graduates, pretty much everyone that produces so the Democrats and their dependents can consume. I’ll continue to stay here. I figure that once this state is destroyed once and for all, I can buy it on the cheap and make it my own little conservative island in the midst of a liberal wreckage.
It’s just a matter of time before the high tax states start blaming the low tax states and say it isn’t fair that the low tax rates won’t raise taxes. Sounds crazy, but it will happen.
“...make it my own little conservative island in the midst of a liberal wreckage.”
I don’t think it can be done. On my road only two households are working. Three households are living off either social security, welfare or state pensions. The house across the road is vacant.
On the road parallel to me, two houses are vacant and up for sale, three households have retirees and two are on welfare. You can’t build an economy on that.
And your comment on people leaving is spot on, but these aren’t ordinary people fleeing. The people leaving are the productive citizens in the 18 to 34 year old demographic (the future).
Your “conservative island” will be attacked by the unproductive leeches and bureaucrats and drained of all cash. We’re at the tipping point now where the non-producing will outnumber the productive. When that happens, the state will collapse.
It is not just the liberals in Michigan, the so called conservatives are going along with this crazed Governor’s failed policies. The RINO’s went along in her first term to get everyone to pay their property taxes as follows, and then had the gall to tell everyone that it was NOT a tax hike! The people were conned into paying three (3) years of property taxes in two (2) years, and of course we did not get the third (3rd) year free, instead we had to pay the third (3rd) year again! This was to bail Granholm out of billion dollar tax deficit in the first term. Here we go again, in her second term and again, Michigan is in the hole over a billion dollars, and now the liberals want to tax us again!
Michigan is looking more and more like a Chavez run government. Instead of nationalizing natural resources Granchez is nationalizing income for the sake of the state. Give her ‘rule by decree’ and she’ll rule that all income belongs to the state.
There oughta be a law against a business leaving a state. /S
We have to have a level playing field!!!! /s
Not crazy at all - a number of EU states are saying that about Ireland, that they should be forced to raise their tax rates to a level commensurate with EU norms because it isn't fair that Ireland is stealing away multi-national companies.
Remember, during the campaign Granholm had “fixed” the state budget! She gets reelected, and guess what? The budget isn’t balanced. State departments overspent budgets. I say we recall Granholm. Who’s with me?
MGY
I’ve heard the same about the U.S. from other nations. It’s where I came up with my hypothesis for the states.
“That change alone means the state may be unable to collect supervisory fees charged annually by the Michigan Office of Financial and Insurance Services.”
Um, shouldn’t the fees be in line with the actual cost for the work required? If the work is not required the cost is not there, hence no damage from not receiving the fees.
That logic would require the state to reduce its operation in proportion to the demand for services. Not gonna happen.
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