The state Legislature will turn its attention this fall to reforming – that is, doing away with – Michigan's Personal Property Tax.

City of Lansing Finance Director Jerry Ambrose said Monday that while the tax is "antiquated" and "cumbersome to administer," the revenue it generates for the city needs to be replaced somehow.

Contrary to the tax's nomenclature, it's actually assessed on businesses for property that's not land or buildings, like machines and equipment for industry, office furniture, computers and the like.

"It's a significant revenue source for the city," Ambrose said, amounting to about $3 million per year. That's about a ten percent share of the total property taxes the city takes in – a number which is already anticipated to drop by $3 million this year.

, the tax raises about $1.1 billion each year in revenue for the state. Approximately 80 percent of that goes to local governments. The remainder is mostly used to fund schools.

"Replacement revenue is critical," he added, echoing the position of the local government advocacy group, the Michigan Municipal League.

It's even more important in light of Ambrose's presentation to the Council Aug.22.

, and that the staggering figure prompted him to update the council on the budget situation months earlier than usual.

With the likely abolition of the personal property tax, the deficit would be more like $15 to $18 million.

One possible solution to the coming fiscal crunch and the possibility of further reductions in revenue is

, which should be up for a vote at Monday evening's general business meeting. If Council passes the measure, voters would have

.

Lansing voters will also be asked to approve the sale of portions of the city-owned Red Cedar Golf Course and to decide whether to revisit the City Charter.

E-mail Angela Wittrock: awittroc at mlive dot com and follow her on Twitter at twitter.com/AngelaWittrock and Facebook.