LANSING – Sharpening his focus on issues he says will help build Michigan’s economy, Governor Rick Snyder is calling for the Legislature to develop a plan to raise at least $1.2 billion in addition transportation funding and to put limits on Michigan?s no-fault auto insurance law. Snyder he will create a new department to put a greater emphasis on Michigan?s growing insurance industry.
But, in his State of the State address, while calling for increasing road funding by at least $1.2 billion, Snyder is being light on details of a plan. He wants the fuels tax switched to one based on a percentage of the wholesale price of gasoline and diesel fuel, an increase in the state?s vehicle registration tax, and a proposal in place for a local registration tax, but he has laid out no basic proposal of how much would be raised by each tax and how. Instead, he is calling on the Legislature to help craft that proposal.
Likewise, while Mr. Snyder says the cost of auto insurance in Michigan is too high, he is not outlining a specific proposal to make major changes to the state?s automotive no-fault insurance law or to put a limit on the now unlimited medical benefits allowed in the law. Administration officials hinted, though, that he may soon proposed a limit on medical benefits.
Snyder is saying he will create a new department to handle insurance and financial matters. The new department, made by splitting the Office of Financial and Insurance Regulation from the Department of Licensing and Regulatory Affairs, will also help promote the insurance industry which has become more prominent in Michigan.
As Snyder delivered his third State of the State address, several hundred protestors drummed and chanted outside the Capitol. Protestors were there to express outrage over the state?s new right-to-work law.
