LANSING – State Representative Bettie Cook Scott (D-Detroit) today blasted the $300 Detroit trash collection fee that was passed by the House on Thursday. Scott added that instating the fee may add to already high rates of foreclosures in Detroit if families are unable to pay the fee.
"We should be working to decrease the rate of foreclosures in Detroit," Scott said. "This plan attempts to balance the city's budget on the backs of our most vulnerable citizens, and the homeowners of Detroit should not be penalized for the possible mismanagement of city resources."
Until 2006, the cost of garbage disposal for Detroit residents had been woven into the city's general property tax bills at a rate of 3 mills or nearly $300 a year for those living in homes worth $300,000 or more. The Detroit City Council broke off the fee from the general property tax bill last year in the hopes of collecting around $45 in revenue million more per year.
House Bill 4376 establishes a new Detroit-wide $300 trash fee. The original bill, which died in the Senate, was amended to ensure that homeowners won't lose their homes if they can't pay the tax. In the Senate, HB 4376 passed, 24-11. In the House, it passed, 57-52, in a vote not affected by party line.
Several Democrats, including Scott, voted against the bill because they believe the amendment will not protect delinquent trash payers from losing their homes.
"Fees and taxes operate differently," Scott said. "The city is trying to have the best of both worlds, and make this fee into a tax on the residents of Detroit. And they're doing it in order to balance their books by the end of the fiscal year. I am proud to stand in unison with my other Eastside Representatives in opposition to this bill."