Hammerstrom Named Legislator of the Year
Michigan Restaurant Association Honors Local Senator

LANSING, Mich. - Senator Beverly Hammerstrom (R-Temperance) was named Legislator of the Year by the Michigan Restaurant Association (MRA), a trade association of more than 4,000 restaurant and foodservice owner/operators throughout the state. Hammerstrom received the award for her support of the hospitality industry, and, in particular, for her sponsorship of Senate Bill 486.

Hammerstrom introduced Senate Bill 486 in May, 2001, after meeting with several restaurant owners who operate franchises in her district. The bill restores a 1985 law that allowed franchisees to deduct all franchise fees and royalty payments made to a franchisor-or parent company-from the franchisee's Single Business Tax base. The 1985 law was overturned in 1997 by the Court of Appeals in Little Caesar's Enterprises v. Michigan Department of Treasury. SB 486 was signed into law and became effective January 3, 2002.

"I introduced this bill to help clarify the Legislature's intent with regard to deducting franchise fees on the Single Business Tax," said Hammerstrom. "Because the court overturned the Legislature's intent, it was necessary to amend the language of the original statute to clarify our intent. We said it once, but we're saying it again, this deduction belongs to small businesses."

Rob Gifford, Michigan Restaurant Association Executive Director, lauded Senator Hammerstrom and her efforts on behalf of small businesses. "Senator Hammerstrom heard from impacted businesses and worked very hard to pass SB 486. She is truly deserving of this honor for her outstanding efforts on behalf of small business owners everywhere. We named her the MRA Legislator of the Year in recognition of her efforts on this bill and her commitment to represent the people of this great state."

The Michigan Restaurant Association awards the Legislator of the Year annually to a lawmaker who has helped the MRA pass significant legislation in the previous year and has a legislative record of supporting the restaurant industry. Hammerstrom received the recognition today during the annual MRA Day at the Capitol.
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