Governor Rick Snyder says Michigan's national ranking for business climate is dramatically improved as a result of his overhaul of the state's tax system. Snyder spearheaded the elimination of the state's business tax in favor of an income tax on corporations.
The governor says that change prompted a The Tax Foundation, based in Washington D.C., to give Michigan more favorable rankings in a preliminary review of state taxes.
"They'll do the formal one in the summertime, so, it may change things because other states are doing things in both directions," he says. "But I view it as very positive to say we moved overall from 18th to 12th, and from the corporate side to say we moved from 49th to 7th is huge. It shows Michigan has a good climate from a tax perspective."
However, Snyder says Michigan's poor national ranking for K-12 education is unacceptable. Democrats say budget cuts and changes to teacher-tenure rules pushed by Snyder and Republican lawmakers in the state Legislature are making it harder for students to be successful.