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Detroit council approves study of a local-option “smart tax” to assess revenue options

3137181 · April 22, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Council approved a resolution to fund a study into a local-option sales tax (referred to in the meeting as a 'smart tax' or LOST study). The study will be done by the Citizen Research Council and is expected to cover legal, economic and implementation issues, with a goal to complete work quickly using this fiscal year's funds.

The Detroit City Council voted to approve a study to evaluate a local-option sales tax, often described in the meeting as a “smart tax” or local-option sales tax (LOST).

Council member Johnson moved the measure and described it as “merely a study” to evaluate implementation pathways, legal constraints and potential revenue. Director Whitaker told the council the Citizen Research Council (CRC) will be retained to carry out the work and that the contract has been routed through purchasing. Whitaker and colleagues said the study will examine legal barriers, likely revenue scenarios and…

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