Governor Snyder Talks Severance Tax

The Lansing State Journal is reporting today that Governor Snyder’s administration has proposed a severance tax on non-ferrous minerals being mined in the Upper Peninsula. According to the article:

Under the plan, a 3 percent tax would be levied on the value of minerals removed from the ground, said Keith Creagh, director of the Michigan Department of Agriculture and Rural Development. Revenue would be split by local governments and a new fund to support rural economic development projects.

As you know, the Michigan Rural Council has been talking about this proposed tax for a few months now. Director Keith Creagh from the Michigan Department of Agriculture and Rural Development, joined us at our February Council meeting to talk about this issue. And it is tied into recent mentions of “U.P. Secession” that we discussed on our blog.

What do you think of this proposed tax? Let us know so we can keep you informed as this progresses through the Michigan Legislature.