News Story

Michigan lawmaker pitches fee on museums, concerts

Rep. condemns $3 ‘fun tax’ on tickets costing more than $30

Michigan residents who enjoy the recent success of the Detroit Lions may find the cost of attending a game going up should a new piece of legislation in the Michigan Legislature be enacted.

Sen. Mallory McMorrow, D-Royal Oak, introduced Senate Bill 1148 on Nov. 26.

The bill would allow certain cities, villages, and other municipalities to impose what it calls a ”ticket enhancement fee,” capped at $3. It would apply to all tickets sold for $30 or more.

If passed by both chambers and signed into law by the governor, the bill would allow local governments to raise the price of attending a wide range of venues and events: zoos, live theaters, museums, operas, professional sporting events, concerts, temporary or transient entertainment, botanical gardens, amusement parks, dance productions, literary events, or cultural festivals.

Certain events would escape the fee. These include high school, middle school, and elementary school events. Also exempt would be events sponsored by nonprofits or charitable organizations, collegiate athletic contests, and events held at a venue with a capacity of fewer than 500 people.

McMorrow didn’t respond to two requests for comment.

Money from the enhancement fees, plus related interest and penalties, would have to be deposited in the state treasury and credited to a restricted account for the relevant municipality.

Rather than increase government revenue, one legislator told Michigan Capitol Confidential, state officials ought to make governments more efficient. ”We need to focus on better budgeting,” said Rep. Donni Steele, R-Orion Township, “instead of trying to pull more money from residents by taxing fun.”

The bill was referred to the Committee on Economic and Community Development.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.