LANSING – In a move to protect the winter tourism economy that is so vital to northern Michigan, State Representative Gary McDowell (D-Rudyard) today announced he will be introducing a bill to repeal a recent decision to expand the state service tax to skiing services.
"As state representative, one of my goals is to increase the tourism industry's role in Michigan's economy and attract more investment in tourism-related businesses," McDowell said. "More investment means more revenue for our local governments and more jobs for our residents. I believe we have to keep these activities affordable. A service tax on skiing would be passed onto consumers and would price many residents out of a fun and healthy pastime."
As part of a comprehensive budget solution passed earlier this week, the state sales tax was expanded to non-essential services such as landscaping, janitorial and consulting services. But Ed Grice, general manager of Boyne Mountain Resort in Petoskey, noted that skiing was the only recreational activity to be included under the expansion.
Grice added that the skiing industry in Michigan has been hit hard in recent years by a combination of mild winters and a stunted economy.
"We feel a little picked on, because this is the only recreation tax that was dumped on anybody," Grice said. "Things haven't been flourishing in this state over the last few years, and we've certainly felt the effects of that. By introducing this bill, Rep. McDowell certainly has our support and admiration."
Michigan has developed a reputation a regional leader in downhill skiing. There are over 40 ski resorts in the state, and Michigan has been named the top Midwestern destination for downhill skiing by Ski Magazine.
"People come from around the region to hit the slopes in Michigan," McDowell said. "Skiing has been unfairly singled out by the Legislature, and that's not right. Tourism is an industry that will continue to expand, and we need to make sure it expands in northern Michigan."