The Michigan House Finance Committee voted unanimously Feb. 25 in Room 521 of the Anderson Office Building to report two bills that would extend the sunset on a sales-tax exemption for firearm safe-storage devices, Chair Mark Tisdell said at the start of the meeting.
Committee sponsors said the exemption is designed to encourage the purchase of safes and other devices that keep firearms out of unauthorized hands. Representative Paquette, one of the bill sponsors, said the bills “extend the sunset on safe storage items for firearms to December” and added that the policy aims to “get more people to be able to purchase and store their firearms securely, keep them out of the wrong hands.” Representative Price, the other sponsor, said the exemption also acts as a public reminder that secure storage is expected: “many gun shops do with a little notice at the counter...if you make that decision to buy your safe storage devices now, you won't need to pay sales tax.”
Committee members pressed fiscal details before voting. Representative Kelly Breen asked about impacts to the School Aid Fund; Representative Price summarized staff figures, saying the bill set would reduce sales-tax revenue by about $1,000,000 and that “a little over 70% of that sales tax” currently flows to the School Aid Fund. Price noted the committee’s cited school-aid budget for 2023–24 at about $21,500,000,000 to place the projected revenue loss in context.
Representative Lightner asked why the bills extend the exemption for only one year rather than a longer period or permanently. Sponsors said they would support a longer or permanent change if there is appetite in the full Legislature and the governor’s office; they also said periodic sunsets can create urgency that encourages purchases.
Representative Curtis Vanderwall moved to report House Bill 4025 with recommendation; Representative Cynthia Neely moved to report House Bill 4026 with recommendation. Both motions passed unanimously on voice roll call votes called by Chair Tisdell. Committee clerks recorded 15 yes votes, 0 nays and 0 passes on each motion.
Two written public-support cards were entered into the record: Sean Hollahan (support, did not wish to speak) and Ann Coonan of the Michigan League for Public Policy (support, did not wish to speak). No stakeholders spoke in person during the items. After the votes the committee adjourned.