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Ballot proposal would tax Michigan’s top earners to boost schools

PIXABAY.COM

A statewide coalition of parents, educators and advocates in Michigan is launching a ballot measure to raise more than $1 billion a year for public education.

If approved by voters in 2026, The "Invest in MI Kids" initiative would add a 5% surcharge on incomes above $1 million for couples and above $500,000 for single filers, aiming to fix disparities where billionaires now pay the same rate as teachers. Right now, Michigan ranks in the bottom 10 nationally for funding equity.

Rachel Richards, fiscal policy and government relations director for the Michigan League for Public Policy, explained the need for more funding.

"Recent research shows that there is a very significant gap between what we have been putting in and what is necessary in order to adequately educate our kids," Richards explained. "We're talking billions of dollars in terms of that gap."

Not everyone is on board, including The Small Business Association of Michigan, arguing the plan could function as a business tax, since many small firms file income through personal returns, hurting their ability to reinvest, hire and grow.

Advocates stressed chronic underfunding falls hardest on low-income and vulnerable students and the educators who serve them. They said addressing the funding gap means valuing teachers and ensuring schools can keep the talent needed to open doors for kids and strengthen communities.

Jess Newman, a member of the Invest in MI Kids coalition, said the benefits are many.

"We need those great, awesome teachers that do so much everyday to teach our children and give them those opportunities and open their world," Newman contended. "We need to be paying them more - and making sure that we're valuing their contribution to our society in creating thriving communities."

If adopted, all revenue from the surcharge would go into the State School Aid Fund and be subject to annual audits, with restrictions to ensure it can only be used for local classrooms.

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