Tax Break For Telegraph Businesses?

Business owners along Telegraph Road say construction is hurting business. Friday afternoon, Oakland County Executive Brooks Patterson is expected to announce a plan to help those businesses.

Patterson, at a 1:30 p.m. news conference at Carl’s Golfland in Bloomfield Township, will propose legislation to cut property taxes for businesses impacted by road projects for the duration of construction. The proposed law would affect business owners statewide.

Patterson is calling for a law that will reduce property taxes up to 50% for any business affected by a construction project that lasts more than three months in its first year. Additionally, if the project goes into a second year, it must continue for at least two more months for the business to be eligible for the tax relief.

Senate Majority Leader Mike Bishop (R-Rochester Hills) and State Representative Gail Haines (R-Waterford), along with the Detroit Regional Chamber President and CEO Sandy K. Baruah all support the idea.

David Littmann, chief economist for the Mackinac Center for Public Policy, says businesses along Telegraph lose $1.3 million in productivity for every 15 minutes of delay in the construction zone. Littmann says that amounts to a taking of property by government, for which business owners should be compensated.

The Telegraph construction is expected to extend into 2011.

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  • Glen H.

    Give me a break!Do you propose to have businesses pay more property tax when they get more business because of the nice new road? Road construction is just part of doing business. They’d be the first ones whining if the road was so bad it detered business. I burn extra gas in the construction zone. Where is my tax break!

  • bill

    Telegraph is a mess and a typical govt project. Miles of that road are closed/restricted and often no one can be seen actually working on the road repaid.

    One wonders where they all are? To me, they should be working 24/7 to get it done. But, as usual, the govt does not feel any pain and moves at its own pace. A tax cut MIGHT get the govt’s attention.

  • peter goatley

    I am one of those affected business owners- Peter’s Palate Pleaser-1087 W. Long Lake Bloomfield Twp- we are down almost 60% in sales due to this construction- Long Lake and Twelve Mile intersections I feel are the most affected- there seems to be many delays- days go by where no one is working- yes I am aware of concrete curing times but it seems to me a contractor who was paid 55 million 6 years ago for repaving should not have the contract to complete this job now- best guess is that is what we get. As a customer of mine aptly put “this is a disgrace”. As if the economy isn’t bad enough to take this hit is very hurtful. There are people going out of business along the Telegraph corridor. The American Recovery Act is killing us.

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