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October 1, 2020

Proposal 1 would change what happens with state oil and gas dollars . . . three decades from now

Contact: Craig Thiel
Company: Citizens Research Council of Michigan
Phone: 517 485 9444
Email: cthiel@crcmich.org
Web: crcmich.org
Date: October 1, 2020

Livonia, MI – The Citizens Research Council of Michigan, a 104-year old not-for-profit organization dedicated to improving government in Michigan, has analyzed Proposal 1, a constitutional amendment on the November 3 ballot.

The Michigan Constitution deposits oil and gas bonuses, rentals, and royalties from state-owned land into the Michigan Natural Resources Trust Fund and Michigan State Parks Endowment Fund to acquire land for conservation, environmental, and recreational purposes.

Proposal 1 asks voters to weigh in on the disposition of these revenues when these funds reach their current constitutional limits and the purpose for which these revenues can be used. Rejection of Proposal 1 would allow the funds to eventually flow into the state’s General Fund. Adoption would continue to earmark the revenues for natural resources and state parks.

“This is another example of state revenue earmarking that Michigan state government has wholly embraced and that restricts the use of over two-thirds of state tax receipts,” said Craig Thiel, the Citizens Research Council’s Research Director. “Michigan’s beauty is rivaled by few places in the world and our residents enjoy use of the beaches, snowmobile trails, fishing spots, and hunting opportunities. The question for voters to consider is whether, given a host of unknowns that could change state finances and budget priorities between now and 2050, funding for these purposes will be the state’s most pressing budget needs in 30 years.”

A detailed analysis of Proposal 1 can be downloaded at crcmich.org.

Proposal 1 would change what happens with state oil and gas dollars . . . three decades from now

Contact: Craig Thiel
Company: Citizens Research Council of Michigan
Phone: 517 485 9444
Email: cthiel@crcmich.org
Web: crcmich.org
Date: October 1, 2020

Livonia, MI – The Citizens Research Council of Michigan, a 104-year old not-for-profit organization dedicated to improving government in Michigan, has analyzed Proposal 1, a constitutional amendment on the November 3 ballot.

The Michigan Constitution deposits oil and gas bonuses, rentals, and royalties from state-owned land into the Michigan Natural Resources Trust Fund and Michigan State Parks Endowment Fund to acquire land for conservation, environmental, and recreational purposes.

Proposal 1 asks voters to weigh in on the disposition of these revenues when these funds reach their current constitutional limits and the purpose for which these revenues can be used. Rejection of Proposal 1 would allow the funds to eventually flow into the state’s General Fund. Adoption would continue to earmark the revenues for natural resources and state parks.

“This is another example of state revenue earmarking that Michigan state government has wholly embraced and that restricts the use of over two-thirds of state tax receipts,” said Craig Thiel, the Citizens Research Council’s Research Director. “Michigan’s beauty is rivaled by few places in the world and our residents enjoy use of the beaches, snowmobile trails, fishing spots, and hunting opportunities. The question for voters to consider is whether, given a host of unknowns that could change state finances and budget priorities between now and 2050, funding for these purposes will be the state’s most pressing budget needs in 30 years.”

A detailed analysis of Proposal 1 can be downloaded at crcmich.org.

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