Daily Online Coverage at MichCapCon.com

A review of the votes and proposals of the Michigan Legislature — Vol. 5 No. 1 — Winter 2011 DON’t tread on me

Lansing’s $140,000 Bus Driver By Tom Gantert Lansing bus driver earned $140,900 in 2009 while working for the city’s transit company. The six-figure income was due to 2,198 hours of overtime - or about 42 extraA hours per week that the bus driver put in - according to the Capital Area Transportation Authority. The driver made $22.11 an hour base pay. If the driver worked the standard private sector work week of 40 hours, plus the 42 hours of overtime, then the resulting 82 hour average work week would be sufficient to produce an 11 hour and 42 minute shift for each of the seven days of the week. Mapquest.com estimates that driving from Lansing to Washington, D.C., requires a little less than 10 hours. See “Bus Driver,” Page 8

Commentary INSIDE THE ISSUE GOP Member Top Page 5 7 Smoking Ban “Funny Numbers” How Fees Fuel Recipient of MEA Money Critics of special business subsidies Big Government say state’s economic planners use By ken braun shaky data to make decisions hen Michigan government’s By Tom Gantert Liz Boyd, Granholm’s Woutsized waistline fails to Your Legislators 12 spokeswoman, stated in an shrink, there’s often very definitive redicting how many jobs the e-mail the 3,000 jobs figure was actions and votes that tell the tale. government will get for the based “conservatively on what Just two of many recent examples $383P million in subsidies it plans company officials have said in include 2007’s billion-plus-dollar to pour into the Livonia battery the past.” tax hikes (see www.MichCapCon. facility isn’t always an exact sci- But that 3,300 jobs figure com/9134) and politicians too ence. Even former Michigan Gov. far exceeds what the Michigan timid to make modest reforms (see Jennifer Granholm didn’t cite Economic Development www.MichCapCon.com/11464) what her own economic experts Corporation is projecting for the last fall that would have saved hun- say when it came to the jobs A123 Systems plant. The state dreds of millions of dollars in K-12 numbers game. is paying $133.9 million and the spending. In September, Granholm federal government is giving But it isn’t always so clear. wrote the following in a blog post $249 million. Outside of those “big meals,” on the Huffington Post: “Best of According to a legislative there are other high-fat morsels all, the new facility has already briefing memo from April of that keep the state from adopting created over 300 new Michigan 2009, A123 Systems plans to a sensible diet. A good place to

create 844 jobs over the next Midland, Michigan 48640 Michigan Midland, jobs, and A123 Systems’ find these “midnight snacks” is

Permit #1776 Permit

P.O. Box 568 568 Box P.O. production plans project another five years. Those jobs would pay wherever a lawmaker is talking

Fenton, MI Fenton, 140 West Main Street Main West 140

PAID PAID 3,000 clean technology jobs to about $29,000 a year. The memo

Mackinac Center for Public Policy Public for Center Mackinac about a “fee” like it is different from

U.S. POSTAGE POSTAGE U.S. See “Funny Numbers,” Page 8 See “Fees,” Page 6 Capitol Confidential Capitol follow.” NONPROFIT ORG. NONPROFIT Michigan Capitol Confidential Winter 2011 | 2 Are you new to Michigan Capitol Confidential?

Many of you have already e-mailed, written or phoned us to say that you’d like to remain on the mailing list for Michigan Capitol Confidential. If you haven’t contacted us yet, but would like to remain on our mailing list, please let us know! If you are reading this newspaper for the first time, thank you for taking the time to look over this publication from the Mackinac Center for Public Policy. We selected you for this mailing because you have shown an interest in the public policy issues that we discuss. Inside, you will find a review and analysis of important state legislative policy issues that do not always receive attention from the general media. Every two months, we send this publication to make it easier for you to keep tabs on your elected representatives in Lansing. Subscriptions are FREE, but to remain on our mailing list you must let us know by sending your name and home address. Enclosed is a postage-paid business reply envelope to make this easier — just fill in your name and address and send it in! Even easier still — just put the same information in an e-mail and send it to [email protected]. When you write to us, please feel free to include the names and addresses of family and friends who you think will enjoy Michigan Capitol Confidential as much as you do. Michigan Capitol Confidential’s new home is now online at www.MichCapCon.com. You can find everything from the print edition there—and much more— updated with a fresh story every day. Additionally, you can help us keep Michigan Capitol Confidential coming to households just like yours by joining the Mackinac Center for Public Policy. The Center is dedicated to providing a free-market perspective on public policy issues that impact the Michigan economy. We provide that perspective through timely policy studies, commentaries, interaction with media and policymakers, and events for targeted audiences throughout the state. Our issues are economic in focus, but as diverse as taxation; government budgeting; science, environment and technology policy; labor policy; privatization; property rights; and general economic education. The Mackinac Center’s mission is to educate Michigan residents on the value of entrepreneurship, family, community, private initiative and independence from government. We believe, as our country’s Founders did, that liberty and sound policy can never be taken for granted. Their preservation requires vigilance during each generation from both us and citizens like you. If you share this goal, we would welcome your generous contribution to the Mackinac Center in any amount. Even a $40 donation is a tremendous help. The Mackinac Center is a 501(c)(3) educational institute, and your donation is deductible on your federal income taxes. Thank you for any help you may be able to give us — and don’t forget to let us know if you want to continue your FREE subscription to Michigan Capitol Confidential!

Sincerely,

Kenneth M. Braun, Senior Managing Editor, Michigan Capitol Confidential

989-631-0900 [email protected] Michigan Capitol Confidential Winter 2011 | 3 ad liberties to get information on how the to get the country and the state Michigan, we’ll be helping them lawmaker actually voted. back on track. Citizens are with tools like MichiganVotes. Today, our online, searchable engaged at extremely high levels, org and our Michigan Capitol database called MichiganVotes. and it’s not just engagement in Confidential news service. Your Candidate org, lists every vote, of every partisan politics. So what if your candidate wins lawmaker, on every bill. There’s It’s much more than the old next month? It won’t mean a thing no place to hide any more. Red Team/Blue Team stuff. It’s if the only people he or she gets Want to know the three as if the citizens have figured out Won, But So What? pressure from after the election By Joseph G. Lehman campaigned against, the voters Republicans who put the last tax what G. K. Chesterton meant are the unions and all the other put them out on their ears. increase over the top? They won’t when he said, “The business of friends of big government. The following is an And so here we are again, mention those votes in their Progressives is to go on making edited version of sixteen years the older and speeches back in the district, but mistakes. The business of November is a starting line, remarks delivered wiser. Republicans are still we post votes and name names Conservatives is to prevent the not a finish line. Now more by Mackinac Center better campaigners than most right at MichiganVotes.org. mistakes from being corrected.” than ever, I’m sure the folks President Joseph G. Democrats on the virtues of free The second reason our new It seems the people have who believe in free markets and Lehman to nearly markets and limited government. strategy matters is because the never been as savvy as they individual liberty are going to 300 guests at the Townsend Hotel But how long can we afford people who are the most civically are now about the emptiness make their voices heard after the in Birmingham on Oct. 14, 2010. to wait this time to find out if engaged have disproportionate of campaign promises and the election, and I hope that includes they’re better at keeping their influence on policy making. A Republican/Democrat labels. all of you. + hat if most of the political promises than they used to be? stack of Mackinac Center studies They want results and they seem Thank you. prognosticators are right In 1994 Republicans had a foot high won’t persuade as to be ready to hold lawmakers Wand November 2 turns out to been out of power for so long many lawmakers as will a few accountable once they get Joseph G. Lehman is president of the be a very, very good night for it was possible to believe they phone calls from voters in the to office. When they do in Mackinac Center for Public Policy. Republicans? Or maybe I should would automatically pursue lawmaker’s district. be asking, so what if they’re right? their trademark free-market So we’ve built our own media Maybe I’m a killjoy to ask policies once they gained power. operation. Our newspaper, “so what” when Republicans have It was also possible for the Michigan Capitol Confidential, lots of reasons to expect some Mackinac Center’s founders goes to tens of thousands of spectacular political victories. in 1987 to believe that making engaged citizens. The email But I maintain “so what” is the the intellectual case for free version goes every day. Now, Meet the Authors very question Republicans need markets with high quality studies when we publish a study, we to hear, along with everybody else. and reports would persuade combine it with an investigative That’s because their victory lawmakers to enact wise policies. report on the subject, a short won’t translate into better Today we know that which is video, a newspaper story, and the Ken Braun is the managing editor of Michigan policies if they behave the same necessary is not always sufficient. related legislative activity. Capitol Confidential. He may be reached at way they did the last time they That’s why we’ve added Government transparency, [email protected]. were in power. Election victories important new tools to our and direct communication with don’t automatically translate into portfolio at the Mackinac Center. citizens, makes a difference. policy victories. We’ll always be the ones to do One Oakland County lawmaker Nearly everyone here the studies and reports that tax- – a Republican – asked us to Tom Gantert is the senior correspondent for can remember 1994 when funded universities and special publish his written apology for Michigan Capitol Confidential. He may be Republicans swept into power interest groups will never do. cosponsoring a bill after our reached at [email protected]. at a political moment similar But now we don’t just send our newspaper exposed the cost of in many ways to this one. ideas to lawmakers and the media. providing state police escorts Republicans eventually controlled With new strategic tools built for the funerals of former the Congress and the presidency, around government transparency lawmakers. Michael Van Beek is the director of education just as, in Michigan, they came and Internet communications, we Another Republican policy at the Mackinac Center for Public Policy. to control the governorship and are increasingly being the media, substituted a better bill after He may be reached at [email protected]. both houses of the legislature. and thereby reaching directly we pointed out his original bill But the policy those citizens who are the most would have opened a back door accomplishments did not civically engaged. for the forced unionization of Jack McHugh is the Mackinac Center for Public match the campaign promises. Why does this matter? For home health care workers. Policy’s senior legislative analyst and editor of Government did not shrink. We two reasons. First, it’s because His bad bill dogged him MichiganVotes.org. He may be reached at did not become more free. Instead government transparency during his recent congressional [email protected]. the growth of government – upsets the old way of doing campaign, which he lost by a federal and state – slowed in some things in the legislature far very narrow margin to a Tea narrow corners, but it still grew more than most people realize. Party favorite. overall. By the time Republicans In the old days, voters were As bad as the current James M. Hohman is a fiscal policy analyst with the Mackinac Center’s fiscal policy initiative. began growing government as almost totally dependent on an economic crisis is, it’s delivered He may be reached at [email protected]. fast as the Democrats they had incumbent’s campaign literature a once-in-a lifetime opportunity Michigan Capitol Confidential Winter 2011 | 4 Cost to Replace Lost Jobs with Michigan Film Subsidies: $39.4 Billion Thirty-One MEDC By jack mchugh including “stimulus” spending). activity that would not have Salaries Top $100K So replacing all the jobs lost in otherwise occurred.” new issue paper from the 2009 with “direct” jobs generated Importantly, this conclusion By Tom Gantert non-partisan Senate Fiscal by film production subsidies does not include the number of AAgency estimates that Michigan would have required a state jobs and wealth not created in t a time when the Michigan film production tax breaks tax increase of 156 percent, all 2009 because $37.5 million was Economic Development and subsidies generated the of which would have gone to taken from other Michigan job ACorporation is saying it is being equivalent of approximately 355 film producers. Replacing the providers and taxpayers and given unfairly criticized, its staffers are full time jobs in 2009, or 1,542 if approximately 800,000 jobs this to film producers. SFA estimates among the best paid in the state. “indirect” jobs are also counted. state has lost since 2000 would that the income redistribution According to information During that year the film cost $154.6 billion, or almost half figure will increase $100 million from a Freedom of Information incentives’ net cost to taxpayers the state’s annual production of in 2010. Act request, the MEDC has was $37.5 million. goods and services. The Michigan film incentive 31 employees making $100,000 When the agency figures in Of course, no one has program was approved in 2008 by or more. The MEDC has other factors the cost comes to suggested that all the lost jobs a unanimous vote in the House 351 positions. $193,333 per job created by the can or should be replaced by and just one dissenter in the Greg Main, president and incentives, or $44,561 per job film production jobs. Still, it is Senate. It provides a “refundable” CEO of the MEDC, had the Main offered to resign after if one includes the estimate of useful to do the arithmetic just tax credit of up to 42 percent of top salary, at $200,000. Debra the RASCO incident, but Gov. the expenses incurred here by “indirect jobs” created. to put claims for this program in Dansby, the chief operating Jennifer Granholm would not film producers, and various other Michigan employment perspective. And it’s worth noting officer, had the second-highest accept his resignation. credits for media infrastructure declined by 204,000 jobs during that the number of “motion salary, at $150,000. Then in April, State Rep. investments and job training. 2009. Replacing all these lost picture and sound recording” “The MEDC was structured Tom McMillin, R-Rochester “Refundable” means that the jobs with subsidized film industry jobs in this state actually to incorporate the best and Hills, met with the state Auditor Department of Treasury sends production jobs would have cost declined between April 2008 brightest from the private sector General after a critical audit of film producers a check for any state taxpayers $39.4 billion (or when the film subsidy program and the state’s most experienced the MEDC. McMillin said MEGA credit over-and-above the amount $9.0 billion if the “indirect” jobs began and September 2009 (the civil servants in order to better may have doled out an estimated they owe in Michigan Business estimate is included*). serve the business community $150 million in tax credits most recent count). Tax. Due to government secrecy, The entire state budget for the with employees paid from either erroneously in the last five years The author of the SFA paper the department has not revealed 2009 fiscal year was $45.5 billion, state and non-state funds,” wrote due to lack of oversight. comes to this conclusion about how much actual cash was of which $25.1 billion came MEDC Spokeswoman Bridget The MEDC sent out a letter the program: transferred to film producers, but from state taxes and fees (most Beckman in an e-mail. “With stating it was “deeply concerned” “The nature of the credit and more than half the credits may of the rest was federal money, respect to state employees, about “unwarranted criticism.” the resulting activity is such that easily have been paid out to them + MEDC is one of the “oldest” The state’s flagship economic *The leading small business lobbyist under current (and any realistic) in cash. development program was in the state calls these indirect job tax rate the State will never be agencies for average years of estimates “funny numbers they pull able to make the credit ‘pay The original version of this story was service compared to others... started in 1999, when the out their backsides.” The author posted online on Sept. 21, 2010. It is it’s a matter of perspective. state’s unemployment rate was of the SFA issue paper notes that for itself’ from a State revenue available with hyperlinks and more Ours is that we present a 4.0 percent. Over the years, “the accuracy of this estimate standpoint, even when the credit info at www.MichCapCon.com/13582. is essentially unverifiable.” generates additional private unique advantage to Michigan’s the state’s unemployment rate business community and our has steadily climbed, reaching structure has become a model 12.8 percent in May of this year. for other economic development “The MEDC has presided over agencies.” the worst collapse of Michigan’s Michigan Capitol Confidential It hasn’t been a banner year economic fortunes in its history,” Editor: Michael D. Jahr for the MEDC. A convicted said Michael LaFaive, director Senior Managing Editor: Kenneth M. Braun embezzler was approved for a of the Mackinac Center’s Morey Graphic Designer: Daniel E. Montgomery tax credit and had it revoked Fiscal Policy Initiative. “It should once the office learned of his be embarrassed for that alone. Michigan Capitol Confidential is published quarterly by the Mackinac Center for Public Policy, a nonprofit, nonpartisan, tax-exempt background. RASCO CEO At the end of the day, it is just research and educational institute devoted to analyzing Michigan public policy issues. Michigan Capitol Confidential is distributed to Richard Short was on parole another expensive organ of state + Michigan residents who have expressed an interest in public policy matters, as well as members of the media and lawmakers and after being convicted and serving government.” policy staff in the Michigan House, Michigan Senate and Office of the Governor. All rights reserved. Permission to excerpt or reprint is two years in prison for financial hereby granted provided that Michigan Capitol Confidential, the author and the Mackinac Center for Public Policy are properly cited. fraud when his tax credit was The original version of this story was posted online on Aug. 4, 2010. It is approved by the Michigan 140 West Main Street, Midland, Michigan 48640 available with hyperlinks and more 989-631-0900 • www.mackinac.org • MichiganVotes.org • MichCapCon.com Economic Growth Authority. info at www.MichCapCon.com/13302. Short’s company never received any money from the state. Michigan Capitol Confidential Winter 2011 | 5

fire “ineffective teachers” (see have required school employees New GOP House Member Is One of Top MichCapCon.com/12308). to kick in 3 percent for their • During 2007’s budget battle, pensions and thus save taxpayers he was one of two GOP $2.8 billion. Recipients for Teacher Union Money senators to vote against After Callston and Kahn, Sen. eliminating certain unusually Randy Richardville, R-Monroe, By Ken Braun is politically “conservative” more money from the union generous pension benefits in is the Republican with the next (see www.MichCapCon. during the past election cycle. the public school retirement largest donation total from the system. He was also one of ep. Mike Callton was a can- com/13752). In 2008, the union Likewise, since the beginning MEA this election cycle. He three GOP senators to vote received $1,800 to his Senate didate for the open 87th dis- gave its recommendation to of 2009, a campaign account against a bill that made it election fund and another Rtrict state House seat, and was 71 candidates who ultimately for Speaker of the House Andy easier for other insurance $1,500 to his leadership fund, one of just three Republicans won seats in the Michigan Dillon, D-Redford, received companies to submit for a total of $3,300. endorsed by the MEA, the state’s House. Eleven of these were $4,000 from the MEA. competitive bids for public Richardville is a largest teachers union. For Republicans (see www. Yet by comparison, Callton’s school health insurance policy leading candidate someone who has yet to cast a MichCapCon.com/10317) - campaign for the state House contracts. Full details at www to become the next single vote, Callton has also re- more than 25 percent of the received $5,000 from the .MichCapCon.com/9136. Senate Majority ceived an extraordinary amount 43-member GOP caucus. (The MEA-PAC. State records show An interesting omission Leader. No recent of cash from the union - $5,000. Michigan Senate runs on four that the campaign accounts of from the MEA’s recommended MEA donations This is more than the MEA has year terms and was not up for just six other candidates for Randy candidate list is Republican Sen. could be located given the current Speaker of the the Legislature received more Richardville re-election in 2008). Mike Nofs, R-Battle Creek. for his main rival, House, and equal to the amount money from the MEA. But the inclination to Less than two years ago, current state Rep. John Proos, given to the current Chairman MEA donations to Sen. Roger recommend some Republicans Nofs won a special election to R-St. Joseph. of the House Appropriations Kahn have not lagged far behind. seems to have abated the Michigan Senate with the On the House of Committee, who has a lot more Kahn is the only incumbent GOP considerably during this past MEA’s recommendation and Representatives side, the say-so on school spending than lawmaker in either chamber election cycle. The MEA’s $5,600 in funding from the two candidates for Republican a new freshman. of the Legislature to run as an recommendation list for the union (see www.MichCapCon. leader are Rep. Paul Opsommer The Michigan MEA-recommended candidate. Nov. 2nd general election com/11112). Like Kahn, Nofs of DeWitt and Rep. James Education His senate campaign account has included 67 candidates for the was one of the few Republicans Bolger of Marshall. Bolger has Association is the taken in $2,500 from MEA-PAC House and 24 for the Senate. in 2007 to support the MEA’s accepted $300 from the MEA labor union of since the start of 2009, and the Only three are Republicans: position against eliminating since the start of 2009, while most of Michigan’s union added another $1,850 to • State House candidate unusually generous pension no records could be found of public school his leadership fund, for a total of Mike Callton Mike Callton of Nashville benefits and against enhanced a recent donation from the employees. With $4,350. Records from the state’s • State House candidate Peter competitive bidding for public union to the campaign funds an agenda that supports higher Bureau of Elections indicate that MacGregor of Rockford school health insurance controlled by Opsommer. taxes and more spending, only a dozen lawmakers received • Incumbent state Sen. policies. Nofs was then a It is not always clear that and which opposes scaling more support from the MEA Roger Kahn of Saginaw member of the House. MEA money flows to Republican back public employee pay during the past election funding Callton, a Republican who In an unusual twist, Nofs’ politicians who are most likely to and benefits, the union’s cycle. has yet to cast a single vote, opponent for that Senate support its positions. Though the financial support and candidate Kahn’s record on policy appears to have received as seat, Democrat state Rep. union’s recommended candidate recommendations skew heavily disputes where MEA concerns much financial attention Martin Griffin of Jackson, had list skews 111-3 in favor of toward Democrats who are are at issue might explain why from the union as even the voted with the Republicans Democrats, more than three more likely to share this agenda. they would be inclined to open most powerful of incumbent on the pension and health dozen Republicans have received The political action committee, up their bank account to him: Democrat lawmakers. insurance bidding. Despite campaign checks from MEA- MEA-PAC, has spent more than • This spring, he was the only A Michigan Capitol spending $4,000 to help PAC since the start of 2009. $2.5 million over the last two Senate Republican to vote Confidential investigation Griffin in previous elections, Some don’t appear to have election cycles. It is regularly against an early version of campaign committees the MEA-PAC switched its ever been accommodating one of the state’s ten biggest- of a bill that would have operated by state Rep. George recommendation and its of the MEA agenda. spending PACs and by far the required school employees to Cushingberry, D-Detroit, donations to Republican Nofs, For example, most financially powerful public contribute 3 percent of their appear to indicate that he has the eventual winner. Rep. Chuck Moss, employee union in the state. salaries to their pension fund. received $5,000 total from But Nofs was now up for R-Birmingham, But that doesn’t mean If this draft had been signed the MEA during the current re-election to the Senate and received $300 from that the MEA ignores all into law, official estimates election cycle. Cushingberry the union declined to make a the MEA on March Republicans. A few get an say this funding reform chairs the House Appropriations recommendation in the race. 4, 2009. He is one outright recommendation would have saved taxpayers Chuck Moss Committee and is thus one Furthermore, just $500 has been of two GOP to sit from the union and a lot get $2.8 billion over ten years, of the very most powerful with $211 million of that being given to Nofs for his re-election on the School Aid & Education its money. Democrats in the capitol saved in just the first year. bid. A potential reason for Appropriations subcommittee In a recent newsletter, the when it comes to deciding this may be that Nofs - unlike in the Michigan House. Yet he MEA released the results of • Also this spring, he was one how much will be spent on Kahn - did not buck his party has frequently asserted policy a poll indicating that a large of two Republicans to vote K-12 schools. Only six other positions diametrically opposed percentage of its membership against a bill that would make during the vote this spring on lawmakers appear to have gotten it easier for school districts to the version of a bill that would See “MEA PAC,” Page 14 Michigan Capitol Confidential Winter 2011 | 6

FEES collecting cash fast enough to allow $52 million and behind schedule. fee. The 2004 raid took $12 million with the majority of Republicans completion of the work in a timely This will require an 18-month from it to help displace other who opposed it. It now goes from Page One fashion, so they asked for a fee extension of the program itself general fund spending, and the bill to the Michigan Senate for a tax. While there are certainly hike to expedite the process. The and the associated fee revenue.” in 2006 took another $15 million consideration. The MichiganVotes examples of fees being used only legislation used to increase the fee And so, a dedicated fee and for essentially the same trick. The description is as follows: for very specific and valid purposes, was 2002 House Bill 6490. fund that was supposed to be 2008 bill lowered the “fee” - which “[Would] divert $2.6 million when any big pot of money is The fee hike, like the work, was used for marking boundary lines was by this point a “tax” in all but in certain court and other created in Lansing, what is “right” set to expire in 2013. within the state and on its borders name - and extended its life. fees dedicated to a state “juror one day has a habit of morphing But then in 2006, lawmakers probably doesn’t have the money to compensation reimbursement into “wrong” in a hurry. desperate for tax dollars to fund a mark the Michigan-Indiana border 2009 House Bill 5599 fund,” so that it instead goes into Consider the case of 2009 government that taxpayers could and appears to now need a special passed in the House a state “court equity fund,” which Senate Bill 375, which authorizes no longer afford enacted 2006 appropriation from some other (63 to 44) on Sept. 14, would allow legislators to use spending $500,000 to conduct Senate Bill 959. According to a source to get the work done. general fund money that currently a survey and remarking — Senate Fiscal Agency analysis, it But money for the protection of 2010, to take $7 million goes to the court equity fund to “remonumentation” — of the did the following: property rights is far from the only each year in the next avoid spending cuts and reforms Michigan-Indiana border. On May “This bill provided for a one- piggy bank that has been raided by two fiscal years from in the Fiscal Year 2010-2011.” 6 of last year, the Michigan Senate lawmakers. Here is another from time transfer of $15.0 million of telephone tax money Finally, and also on Sept. 23, approved this bill on a vote of 34-1. the unreserved balance of the Land earlier this month, as explained by levied to pay for House Bill 6461 was approved by It now awaits attention in the Survey and Remonumentation MichiganVotes.org: the House on a vote of 76-28. There Michigan House. Fund to the General Fund.” 2009 House Bill 5599 (Authorize 9-1-1 emergency phone were 17 Republicans joining the Properly identifying property “General Fund” is government- 9-1-1 phone tax “fund raid” ) service infrastructure, majority of Democrats supporting boundaries — be they state lines speak for “largest pot of cash that Passed in the House (63 to 44) and use it instead to this fund raid. Three Democrats or the fence you share with your lawmakers can spend on whatever on September 14, 2010, to take joined the majority of Republicans neighbor — is an important they can get the votes for.” Moving $7 million each year in the next displace state general fund money in the State in opposition. This too is now under component of maintaining remonumentation money there two fiscal years from telephone consideration by the Michigan both property rights and the made it possible to avoid cuts to tax money levied to pay for Police budget. Senate. The MichiganVotes rule of law. It is a legitimate other portions of state spending. 9-1-1 emergency phone service description is as follows: function of government in a self- State spending for 2006 was more infrastructure, and use it instead “[Would] divert $5 million governing society. And because than $1.4 billion higher than it had to displace state general fund Lawmakers have been quite in tobacco, hotel and liquor tax aggressive in using these fee/ of this, Michigan government been the prior fiscal year. This was money in the State Police budget, revenue intended to pay debt created a State Survey and thus avoiding the need to cut or fund raids recently. This latest an increase of 5.4 percent. service on convention facilities like Remonumentation Fund for this And what about that reform other state spending. The 9-1-1 infrastructure raid is just Cobo Hall to the state general fund, purpose. Money for this fund remonumentation job - the infrastructure this phone tax was one of FOUR examples that which would allow legislators to comes from a $4 fee assessed original purpose for the fee and the intended to create was completed have happened in the Michigan avoid spending cuts and reforms in when property deed and mortgage subsequent fee hike? several years ago and the tax was Legislature in 2010. in Fiscal Year 2010-2011 budget.” paperwork is filed with the registers supposed to end, but was extended On Sept. 16, the Michigan Whatever the stated original of deeds in Michigan counties. Taxpayers who wish through 2014 in 2008. The fund this Senate voted 37-0 in favor of purpose of these fees, the bottom Ideally, this is supposed to be a money goes into was previously Senate Bill 1267. It now awaits to hold lawmakers line is that they have now become user fee: The people who benefit “raided” in 2004, and again in 2006. attention from the Michigan accountable for tax hikes that fuel general most from clearly marked property This one passed without a single House. MichiganVotes describes spending. Many of the lawmakers lines - property owners - pay the bloat of state GOP vote in the House. The bill it as follows: who voted to create the fees in the bill for keeping those lines government would be moved to the Senate, where it was “[Continues] to impose a the first place and those who maintained. But according to an well advised to look modified slightly, so as to take 7/8ths cent-per-gallon gas and analysis done by the House Fiscal only $5 million the first year and refined petroleum tax scheduled later voted repeatedly to divert more closely and not let the spending to other uses would Agency, SB 375 doesn’t propose politicians so easily off $7 million the second. The Senate to expire on Dec. 31, 2010. The to take the $500,000 from the approved it overwhelmingly with tax was originally levied for the likely not consider themselves remonumentation fund. In fact, the hook when they talk this change, with a bi-partisan cleanup of underground fuel responsible for raising taxes. it explicitly says that the money about ‘fees’ as if they majority supporting it on a vote tanks, but was diverted to other But that is the practical result should NOT come from that fund. are different from taxes of 35-2. The only dissenting votes government spending following a of their efforts. Why would this be? were both Republicans. This 2004 “fund raid” enacted to avoid Taxpayers who wish to hold Perhaps because there’s not The job that was originally modified version returns to the state spending cuts and reforms, lawmakers accountable for the enough money in the fund to get started in 1990 and was supposed House for its consideration, and and continues to be used for that bloat of state government would the job done. To find out why, to be finished by 2013? it seems likely that some version purpose. The bill would extend be well advised to look more consider the sad history of that A House Fiscal Agency memo of this fund raid will eventually be the tax through 2012.” closely and not let politicians so $4 remonumentation fee. for SB 959 described the impact of sent to the governor. Another example happened easily off the hook when they talk about “fees” as if they are different It was originally a $2 fee and transferring $15 million out of the After all, as noted above, the real in the Michigan House on Sept. + was part of a state law passed in program: purpose for the fee has long since 23, when House Bill 6120 was from taxes. 1990 that required counties to “... the 20-year ended and it now lives only as a approved on a vote of 65-39. The original version of this story was complete their remonumentation Remonumentation program cash source for the general fund. Four Republicans joined the posted online on Sept. 27, 2010. It is work by 2013. By 2002 counties had is already estimated to be This originally began as a majority of Democrats to support available with hyperlinks and more info determined that the fund was not under-funded by approximately 52 cent per month cell phone the bill. One Democrat voted at www.MichCapCon.com/13619. Michigan Capitol Confidential Winter 2011 | 7 Michigan Restaurants Say Smoking MEA Concedes Large Ban Leaves Their Sales Cold Percentage of ‘Conservative’ Teachers, Endorses By Tom Gantert establishment. The Detroit and 20 Republicans. There were casinos, existing cigar bars and 23 Republican votes in opposition, recent survey by a restaurant tobacco specialty retail stores, along with seven Democrats. 97% Democrats lobbyist group shows that res- work vehicles and home offices The MichiganVotes.org roll Ataurants are seeing a drop in sales would be exempt from the ban.” call vote for this bill is listed By Tom Gantert we face, including the fact that due to the state-wide smoking ban In the Michigan Senate, it below. Contact information for all one out of five children in this that took effect May 1. passed on a vote of 24-13, with the lawmakers may be found at www he Michigan Education country now lives in poverty. + But Andy Deloney, a spokesman support of 15 Democrats and nine .MichCapCon.com/9313. Association’s October Transforming public schools is for the Michigan Restaurant Republicans. One Democrat and magazineT notes a large not and should not be a partisan Association which did the survey, 12 Republicans were opposed. The original version of this story was percentage of teachers issue.” posted online on Aug. 26, 2010. It is feels the impact may be greater once In the Michigan House, it available with hyperlinks and more nationwide that consider MEA President Iris Salters the warm weather fades. Deloney passed on a vote of 75-30, with info at www.MichCapCon.com/13459. themselves “conservative.” said local committees do the said his association expects to do the support of 55 Democrats It stated that a 2005-06 endorsements in each of the another survey in the winter on sales. National Education Association districts. “It’s one thing to step right survey found 45 percent of outside the door when it is Check teachers under 30 classified 80 degrees out but it’s another themselves as conservative “Smoking Ban”: Lawmakers who voted TO PROHIBIT to do that when it is a blustery and 63 percent of teachers The MEA BUSINESS OWNERS from allowing smoking in their buildings: endorsed 15 degrees,” Deloney said. age 40 to 49 classified senate Republicans (9) virtually all The survey found 43 percent of themselves as conservative. Birkholz, Cassis, George, Jelinek, Kahn, McManus, Nofs, Pappageorge, Democrats in 2010, despite the restaurant and tavern owners Patterson The MEA represents more than found no change in sales or the 157,000 teachers, faculty and many teachers senate Democrats (15) identifying number of customers since May 1. Anderson, Basham, Brater, Cherry, Clark-Coleman, Clarke, Gleason, education support staff. themselves as Another 42.4 percent said their sales Hunter, Jacobs, Olshove, Prusi, Scott, Switalski, Thomas, Whitmer Yet, in the same magazine, “conservative.” are down since the smoking ban House Republicans (20) the MEA released its started and 41.2 percent say their Ball, Calley, Crawford, DeShazor, Green, Haines, Hansen, Knollenberg, recommendations for political “What they try to do is number of customers has dropped. Kowall, Lori, Marleau, Meltzer, Moss, Opsommer, Proos, Rocca, candidates and recommended identify the person that best will Schuitmaker, Scott, P., Tyler, Walsh “To us, this issue was never 111 Democrats in 114 races. The support public education and House Democrats (55) about sales,” Deloney said. “The only three GOP candidates to school employees,” Salters said. Angerer, Barnett, Bauer, Bledsoe, Brown, L., Brown, T., Byrnes, issue was the freedom of the people Byrum, Constan, Corriveau, Coulouris, Dean, Dillon, Donigan, Durhal, receive a recommendation were: “We try not to make a judgment who own and operate the taverns, Ebli, Geiss, Gonzales, Gregory, Griffin, Haase, Hammel, Jackson, on any group. We judge based on bars and restaurants as well as the Johnson, Jones, Robert, Kandrevas, Kennedy, LeBlanc, Leland, • State Sen. Roger Kahn of the individual.” people who chose to go to them.” Lemmons, Lindberg, Lipton, Liss, McDowell, Meadows, Melton, Miller, Saginaw, who is running State House Representative Deloney said restaurants around Nathan, Nerat, Polidori, Roberts, Scripps, Segal, Sheltrown, Slavens, for re-election Tom McMillin, R-Rochester Slezak, Smith, Spade, Stanley, Switalski, Tlaib, Valentine, Warren, the state were becoming more Womack, Young • State House candidate Hills, who the MEA has not and more smoke-free since more Mike Callton of Nashville endorsed, said it was “clear the customers wanted it that way. Lawmakers who voted AGAINST PROHIBITING BUSINESS • State House candidate Peter MEA is very partisan.” There were 2,200 smoke-free OWNERS from allowing smoking in their buildings: MacGregor of Rockford “Most Democrats are the restaurants/bars in 1998 and about senate republicans (12) only ones who have proved 6,030 before the smoking ban took Allen, Bishop, Brown, Cropsey, Garcia, Gilbert, Jansen, Kuipers, Richardville, The overwhelmingly themselves to not mind locking effect, Deloney said. There are Sanborn, Stamas, Van Woerkom Democratic recommendations kids in failing schools as long as 17,000 to 18,000 bars/restaurants/ Senate Democrats (1) come at time when NEA adults get pay raises and Cadillac taverns in the state. Barcia president Dennis Van Roekel is benefits,” McMillin wrote in an The smoking ban is Public House Republicans (23) preaching a message of non- e-mail. “Very few Republicans Act 188 of 2009. It passed both Agema, Amash, Bolger, Booher, Caul, Daley, Denby, Elsenheimer, Genetski, partisanship. can tolerate these bad priorities chambers of the Legislature on Haveman, Hildenbrand, Horn, Jones, Rick, Kurtz, Lund, McMillin, Meekhof, Writing recently in the and turn their backs on kids...and Dec. 10, 2009, and was signed Moore, Pavlov, Pearce, Rogers, Schmidt, W., Stamas Washington D.C. newspaper those that do, would likely not + into law by the governor on House Democrats (7) “The Hill,” Van Roekel survive a primary.” Dec. 18. It was described by Espinoza, Haugh, Lahti, Mayes, Neumann, Schmidt, R., Scott, B. said: “Fundamental and MichiganVotes.org as a bill transformative changes in The original version of this story was Legislators who did not vote: posted online on Oct. 18, 2010. It is “to prohibit a business owner, Rep. Bennett (D), Rep. Clemente (D), Rep. Cushingberry (D), Rep. Huckleberry education can only succeed if available with hyperlinks and more including the owner of a bar (D), Rep. Simpson (D), Sen. Hardiman (R) educators, policymakers and info at www.MichCapCon.com/13752. or restaurant, from choosing 2009 Senate Roll Call 693 on HB 4377 communities work together to 2009 House Roll Call 619 on HB 4377 to allow smoking in his or her meet the enormous challenges Please see also the article on page 15 Michigan Capitol Confidential Winter 2011 | 8 bus driver funny numbers A123 Systems would have to create 350 fulltime jobs by Gov. Granholm Touted from Page One from Page One August 2012 to have a $4 million Sandy Draggoo, CEO of CATA, states the facility will create a loan forgiven. confirmed in an e-mail that the total of 2,217 jobs in the state “We keep hearing all these Jobs Costing Taxpayers bus driver did receive more than by 2024. grandiose plans and claims of $140,000 in 2009. CATA declined But those additional thousands of jobs, yet whenever to release the bus driver’s name. By 1,373 jobs are “indirect” jobs. I’ve tried to put those inflated $113,000 Each comparison, Lansing Mayor Virg That means they aren’t jobs numbers as requirements for by tom gantert “Michigan is fast becoming the Bernero was paid $102,000 this year. created by the A123 Systems getting our millions of taxpayer advanced battery capital of the “In our labor agreement that plant, but jobs that will be dollars, they always say, ‘No,’ n her blog on the Huffington world thanks to companies like we negotiated with our union created in the local economy McMillin wrote in an e-mail. Post in September, Gov. Jenni- A123 and global leaders in this that went into effect in August, due to the capital investment, “The fact is, A123 only has Ifer Granholm laid out the details industrial sector,” stated Michael we agreed to contract changes operating expenses and payroll of to have 300 new jobs to get about Michigan landing North Shore, spokesman for the Michigan that modified the way we assign the operation, according to Mike over $100 million in checks America’s largest advanced bat- Economic Development Corp., in work to bus operators which will Shore, spokesman for the MEDC. (subsidies) from Michigan tery plant. an e-mail. “We are pleased to have dramatically reduce the amount In other words, it’s the extra taxpayers. That’s over $300,000 But Gov. Granholm didn’t played a role in their growth and expansion here. There are now of paid overtime,” Draggoo waiters, shoe salesmen and per job of our money and over mention one fact: It was the 17 advanced battery companies that said. “Even more importantly, convenience store clerks hired $700,000 per job of federal $374 million price tag in federal and have announced plans to a total of negotiated changes in the contract by other companies due to the money (which is debt laid on our state subsidies it took to get A123 $5.8 billion in new manufacturing will save significant dollars so that plant locating in Livonia. Those kids). Real, independent studies Systems to put its plant in Livonia. and R&D investments in our annual earnings like this operator jobs are usually spit out by an show that these schemes, while Granholm stated the plan state. These investments are will not happen in the future.” economic model and there is no getting some headlines, actually would account for 3,300 jobs, projected to create 63,585 new There was also a CATA bus follow-up to see if they were ever cost Michigan jobs, because meaning the taxpayers paid about jobs in Michigan over the next driver that made $114,691 in 2009, created. existing businesses pay for those $113,000 per job. according to information released ten years.” “These are nothing but funny subsidies with higher taxes “This company hit the jackpot to the Mackinac Center for Public numbers they pull out of their But the state’s auditor general that would have gone to either and it is all at the expense of Policy following a Freedom Of back side,” said Charlie Owens, has shown that the MEDC’s job preventing layoffs or hiring new Michigan taxpayers,” said State Information Act request. director of the Michigan chapter projection can be often times way employees.” Rep. Tom McMillin, R-Rochester CATA has nearly 300 bus drivers, of the National Federation off the mark. A state audit found The state’s record of Hills. “It is all about headlines. This some of which are part time. There of Independent Businesses. job projections by the MEDC only predicting job creations is is money that all the other were 25 bus drivers who grossed “Nobody keeps track. So it looks taxpayers have to pay. Those are occurred 28 percent of the time. questionable, according to the more than $80,000 last year. The good.” the silent and forgotten losers. Michael LaFaive, director of the State Auditor general. The bus system spent $11.2 million just But State Representative Tom Government loves high profile Mackinac Center’s Morey Fiscal audit found that “direct job” on bus drivers’ salaries, including McMillin, R-Rochester Hills, winners and invisible losers.” Policy Initiative, said government projections in MEDC press overtime, last year. says what bothers him is how few A123 was awarded has often failed when trying to releases occurred 28 percent of That Lansing bus driver made jobs A123 Systems is required to $249 million grant from the U.S. favor one industry over another via the time. That caused former more than Robert Foy, director create to get the $383 million in Department of Energy as part tax incentives. State Senator Nancy Cassis, of the Flint Mass Transportation state and federal subsidies. of the American Recovery and And the $374 million incentive? R-Novi, to tell MEDC CEO Greg Authority, who earned $106,800 in McMillin poured through Reinvestment Act. The company “This industrial policy is on 2009. Foy was the Flint bus system’s the legal documents on the deal Main, “The press releases are also received $125 million in a scale that would make many highest paid employee in 2009, an absolute disconnect with European countries blush,” + and said that the company only + state incentives as part of the + according to a FOIA request. needs to create 300 jobs by Dec. reality.” 21st Century Jobs Fund. LaFaive said. 31, 2016, to get most of the The state pitches it as part of The original version of this story was The original version of this story was The original version of this story was posted online on Nov. 5, 2010. It is state money and doesn’t need posted online on Sept. 17, 2010. It is establishing Michigan as the place posted online on Sept. 15, 2010. It is available with hyperlinks and more to create a single job to get the available with hyperlinks and more to be for the advanced battery available with hyperlinks and more info at www.MichCapCon.com/13953. $249 million in federal aid. info at www.MichCapCon.com/13564. business. info at www.MichCapCon.com/13553.

news_ policy_ lawmakers_ Michigan Capitol Confidential back issues, more information on this issue. taxes_ votes_ more ...... www.MichCapCon.com Michigan Capitol Confidential Winter 2011 | 9

intervene for their own electoral House Abandons advantage. China long has been Should China Stop a major supplier of U.S. markets. As it grows in wealth, China Net Neutrality Bill Buying From Michigan? is becoming an increasingly case basis and set a $2 million State’s favorite political punching important market for U.S. By Bruce Edward maximum fine for violations by products. Michigan is one of the Walker broadband providers found to be bag is one of its best customers beneficiaries of growing Chinese managing their data traffic. demand. In this way trade is (The following is re-posted by By Tom Gantert thrive in the world marketplace. The draft legislation would demonstrating yet again that it permission from Info Tech and Trade with China, in fact, has is an important job-creator for also ban wireless providers from Telecom News. IT&T News is a hina has become the political been one of the few things going Americans.” blocking lawful Web content, project of the Heartland Institute.) bogeyman during elections right in the state economy.” While running for governor, but would allow them to manage C U.S. House of Representatives in Michigan. Yet, Schauer campaigned Bernero tried to use his opponent their bandwidth. If enacted in its draft proposal for network Democratic candidate Virg on the state of Michigan losing Rick Snyder’s ties with China present state, the legislation would neutralityA legislation released Bernero as well as Congressman 67,800 jobs including 4,700 in the against him. sunset December 31, 2012. Mark Schauer both used September 27 was abandoned for 7th Congressional district, due to Bernero attacked Snyder for a “It’s good to see this process the country as a dig at their unfair trade with China. Schauer lack of Republican support later company he invested in opening being conducted in Congress- opponents. was up against GOP candidate the same week. up an office in China. Yet, James Hohman of the and former Congressman Tim The proposed legislation where it belongs-rather than “Who’s side is Rick Snyder Mackinac Center for Public Policy Walberg. called for the FCC to enforce at the authority-less FCC,” said on?” a Bernero press release says what is being ignored is the “For years we have watched rules established by Congress. Seton Motley, president of Less stated. good that trade with China has our country’s trade deficit Specifically, the bill would deny the Government and editor in chief Anthony Randazzo, director of done for the state of Michigan. with China grow due to commission authority to reclassify of StopNetRegulation.org. “This economic research for the Reason According to Hohman’s unfair practices like currency the Internet as a Title II entity despite the best efforts of the Foundation, said in an e-mail that research: manipulation, and this bill will under the 1934 Communications defeat-seeking missiles that are Michigan was built on exporting • The Chinese now buy more force China to play by the rules,” cars throughout the country Act-FCC Chairman Julius Free Press, Public Knowledge, and Michigan products than France said a Schauer press release and then the world and politics Genachowski’s so-called Third the rest of the Media Marxists and the United Kingdom announcing new trade regulation. shouldn’t stand in the way of Way proposal introduced this past [stumping for the FCC to impose combined. China is behind “It’s time we stopped shipping our summer. net neutrality]. Discussing only Canada and Mexico as a Michigan returning to the growth jobs overseas, and I’m committed model. The draft, from the office of legislation-rather than unilateral market for Michigan goods. to helping American businesses “In an economy where housing House Energy and Commerce unauthorized regulation-is • This has been a recent and manufacturers create jobs will be slumping for the next Chairman Henry Waxman, definitely a step in the right development. In 2000, here at home for our workers, several years and consumers are prohibited broadband providers direction.” China had only purchased not workers in China. China has more focused on paying down from blocking lawful Internet $212 million in Michigan a long history of suppressing the Bruce Edward Walker debt than returning to their free content or to “unjustly or products. This grew to value of its currency to make ([email protected]) is spending ways of the past decade, unreasonably discriminate in $1.3 billion in 2009. Michigan exports cheaper than they would managing editor of Info Tech & the biggest bright spot is the transmitting lawful traffic over a + is on pace to export more be if it allowed its currency to be Telecom News. than $2 billion this year. potential of increased exports,” consumer’s wireline broadband set by the market.” Randazzo said. “There is not a lot Internet access service.” • Michigan is surpassing national Doug Bandow, senior fellow The original version of this story was of investment in the U.S. economy The legislation would posted online on Oct. 13, 2010. It is growth rates in trade to China. at the Cato Institute, specializes today because banks and private have limited FCC regulatory available with hyperlinks and more Total U.S. exports to China rose in foreign policy. He said that no 35.7 percent for the first half of equity are facing a mountain of enforcement to a case-by- info at www.MichCapCon.com/13703. one knows the “right” value of the year, and Michigan’s exports new regulatory requirements and currency. to China rose by 120 percent. the threat of increased taxes. But “It seems strange for a Since 2000, total U.S. exports investors are willing to open up policymaker to argue that it to China rose by 326 percent, their vaults to good ideas. The would be better for Americans to while Michigan’s exports to more Michigan businesses focus pay more for everything they buy China grew by 530 percent. on expanding their exports, and from China. I doubt many people Do you like “How many other economic would complain if OPEC was are able to demonstrate growing trends has Michigan beaten the selling oil extra cheap. The fact foreign demand, the more cash what you’re reading? national average? I can’t think that the Chinese government may will flow into the Wolverine State. of any,” wrote Hohman, a fiscal be hurting its own people is no Michigan is a state that was built Then tell us to keep it coming! policy analyst, in an e-mail. reason for the U.S. government on exporting cars across state lines throughout the country and “Politicians love playing on to hurt American consumers. + then the world.” If you haven’t already contacted us and would like to keep people’s fears that their jobs will Our economy will grow faster receiving Michigan Capitol Confidential, we need you to disappear to low-wage China. But and produce more jobs if we The original version of this story was e-mail us at [email protected] or call 989-631-0900 the exponential growth of exports take advantage of the mistakes to let us know that we should keep sending it. That’s it! posted online on Oct. 15, 2010. It is to China shows that Michigan of other nations rather than available with hyperlinks and more firms are able to compete and let U.S. politicians arbitrarily info at www.MichCapCon.com/13739. Michigan Capitol Confidential Winter 2011 | 10

Check Legislature’s Early-Out “Legislature’s Early Out Deal”: Lawmakers who voted FOR the state employee early retirement package: senate Republicans (20) Deal: New Government Allen, Birkholz, Bishop, Brown, Cassis, Cropsey, George, Gilbert, Hardiman, Jansen, Jelinek, Kahn, Kuipers, McManus, Nofs, Pappageorge, Richardville, Sanborn, Stamas, Van Woerkom Retirees 21, Taxpayers 3 senate Democrats (none) House Republicans (42) By Jack McHugh and politicians’ workforce reduction to popular belief, these could Agema, Amash, Ball, Bolger, Booher, Calley, Caul, Crawford, Daley, James M. Hohman promises may have a shorter have been trimmed for current Denby, DeShazor, Elsenheimer, Genetski, Green, Haines, Hansen, shelf-life. retirees also), and a third closes a Haveman, Hildenbrand, Horn, Jones, Rick Knollenberg, Kowall, Kurtz, egislators celebrated a Actually, these pension “double-dipping” scam that allows Lori, Lund, Marleau, McMillin, Meekhof, Meltzer, Moss, Opsommer, “victory” in September by increases aren’t forever, but just government workers to retire, Pavlov, Pearce, Proos, Rocca, Rogers, Schmidt, W., Schuitmaker, Lpassing a state employee early 21 years on average: That’s the start collecting a pension, and also Scott, P., Stamas, Tyler, Walsh retirement scheme that generates additional life expectancy for state collect a paycheck working for the House Democrats (18) upfront savings of just under employees eligible for the early- state as a “contract” employee. Angerer, Bledsoe, Byrnes, Corriveau, Cushingberry, Dillon, Durhal, $140 million (but at the expense out “sweetener,” assuming they Incidentally, no one Espinoza, Gonzales, Jackson, Johnson, Leland, Lemmons, Melton, Schmidt, R., Sheltrown, Slezak, Spade of higher costs down the have an average age of 59. Thus the should become too exercised over road). This will be used to fill overall package “score” of 21 years the modest additional co- Lawmakers who voted AGAINST the state employee early in a gap between their desired of benefits for new state retirees pay required of remaining state retirement package: 2011 government spending versus just three years of savings employees (for three years only). senate republicans (none) vs. expected revenue (aka “the for taxpayers. Since 2002, they have received deficit”). The measure lets Fiscal analysts presented across-the-board pay raises Senate Democrats (14) politicians get back to the optimistic workforce reductions Anderson, Barcia, Basham, Brater, Cherry, Clark-Coleman, Clarke, Gleason, 10 times, in addition to regularly Hunter, Jacobs, Olshove, Prusi, Scott, Whitmer campaign trail, but in the long- figures suggesting that paying scheduled individual employee House Republicans (none) term may cost taxpayers more high-seniority state employees “longevity” boosts, “step” hikes, overall, despite some “rosy more to stop working won’t mean plus increases in the amount that House Democrats (45) scenario” projections that claim higher costs in the long-term taxpayers have been forced to kick Barnett, Bauer, Bennett, Brown, L., Brown, T., Byrum, Clemente, Constan, otherwise. but instead will generate net in to pay for their health care and Dean, Donigan, Ebli, Geiss, Griffin, Haase, Hammel, Haugh, Huckleberry, Jones, Robert, Kandrevas, Kennedy, Lahti, LeBlanc, Lindberg, Lipton, Liss, On the positive side, taxpayers savings that average out between other benefits. can celebrate another part Mayes, McDowell, Meadows, Miller, Nathan, Nerat, Neumann, Polidori, $19 million and $33 million over Can any other group of workers of the package that requires 10 years. Even if the higher figure Roberts, Scripps, Segal, Slavens, Smith, Stanley, Switalski, Tlaib, Valentine, in this state say the same? Adding Warren, Womack, Young remaining state employees to kick is correct, it saves just $1 out of injury to insult, yet another in an additional 3 percent toward every $13,636 in the $45 billion 3 percent state employee pay hike Legislators who did not vote: the cost of their future retirement annual state budget - practically went into effect October 1 (because Rep. Gregory, Rep. Scott, B. benefits. But only for three years. a rounding error. To get this, Sen. Garcia, Sen. Patterson, Sen. Switalski, Sen. Thomas lawmakers in the House and Senate So powerful are the government taxpayers will have to give all those 2010 Senate Roll Call 462 on SB 1226 failed to veto it earlier this year). employee unions in Lansing that new government retirees - many in 2010 House Roll Call 428 on SB 1226 All told, state employees they forced lawmakers to place a their 50s - a 6.7 percent increase in receive an average compensation 2013 “sunset” on these taxpayer their monthly pension checks for package (benefits included) that savings. the rest of their lives. Unless the next legislature Most important to lawmakers, costs taxpayers $93,039. State New and Updated! makes the co-pays permanent, however, was the larger but salaries surpass private levels that is. Attention, tea partiers temporary upfront savings in many job categories. And looking for accountability that allows them to claim they government employees at all levels yardsticks for newly elected or re- “balanced” the budget for the in Michigan receive benefits that exceed private-sector averages by elected candidates who swore on new fiscal year that starts Oct. + stacks of Constitutions that they 1 (a claim that would never $5.7 billion annually. are “fiscally conservative.” stand up under private-sector The original version of this story was The “early out” pension accounting standards.) posted online on Sept. 29, 2010. It is sweetener scheme will give as The 3 percent increase available with hyperlinks and more many as 6,400 state employees in retirement contributions info at www.MichCapCon.com/13627. richer lifetime benefits if they from remaining employees really retire in 2010. Supposedly, the will save money, however - around *Even this provision’s value was state will only hire two-thirds of $82 million each year.* For the compromised, however: The money will be used to pay retiree health that number to replace them at next three years, anyway. Another benefits that are not an enforceable Their votes, your views. lower starting salaries, thus the provision makes small cuts in obligation, rather than to supplement Engage. Join in. Get involved. short-term savings. We’ll see — the future health benefits of underfunded pension commitments pension increases are forever, but newly hired employees (contrary that really are enforceable. Michigan Capitol Confidential Winter 2011 | 11 Teachers Picket as One of Michigan’s Wealthiest Public School Districts Faces $1.7 Million Deficit

By Michael Van Beek According to the Michigan purchased from the Michigan To close the budget deficit to understand why school Department of Education, the Education Special Services the district has asked teachers employee unions won’t do ichigan and local taxpayers average teacher salary in West Association, an arm of the state’s for a 10 percent across-the- more. Johnny Mickles, a field provided the West Bloomfield was $70,192 in largest teachers union. The board salary reduction, and to representative for the American BloomfieldM School District 2009. This ranks 40th among district also provides employees pay between $40 and $100 per Federation of Teachers, provided with more than $13,500 per 551 school districts in the state, with dental, life, long-term month for health insurance. some insight at a recent state student in 2008-2009, yet it still and 10th highest among the disability and vision insurance at The only salary reductions association conference: “It’s faces a $1.7 million deficit for 24 Oakland County districts that no cost to themselves. contained in a counter-proposal my opinion, and every teacher 2010 and $3.8 million for 2011. reported teacher salaries. The 2009 statewide public and from the union are to coaching in Michigan’s opinion, that the Employee compensation makes West Bloomfield teachers private employer average cost for and extracurricular stipends district always has money.” By “district,” of course, he means up 85 percent of the budget, so currently do not contribute a family insurance plan premium (there are 179 different varieties + the district has asked teachers to anything towards the cost of was $13,160, some 36 percent less of these). The union actually “taxpayers.” help close the gap with revisions their own health insurance than what West Bloomfield pays. proposes salary increases for The original version of this story was to their union contract. Their premiums. The coverage costs On average, employees in Michigan 2011-2012. posted online on Oct. 14, 2010. It is response was to picket, which taxpayers $20,511 for a “family contribute about 20 percent toward Given the current economic available with hyperlinks and more they did in October. plan,” the most-popular, and is the costs of these premiums. realities, many will find it hard info at www.MichCapCon.com/13714. Green Buses Driving Costs Higher By Tom Gantert Flint transit also wants to spend the Texas Transportation Institute and asked for increases, both products that really sound good. $5.2 million to modify its facilities found that 2.9 billion gallons of approved. ... Although transit likes to portray n Flint, the city’s transit for compressed natural gas fuel. fuel are wasted in congested traffic O’Toole said it is part of themselves as environmentally authority bought a pair of “This is dreadful public policy,” each year. a public relations campaign friendly, buses are extremely dirty. I$1.1 million electric buses that are said Wendell Cox, principal of So why are transit authorities by transit agencies to endear By switching to electric buses, they can honestly project themselves as zero-emission. Demographia, a public policy gobbling up hybrid buses? themselves to taxpayers, who fund + In Lansing, the city’s transit consulting firm in St. Louis, Lansing’s CATA has 21 hybrid 75 percent of their budgets. holier-than-thou.” authority purchased a 60-foot Mo. “On one hand, we ought buses and is replacing the older “Their real goal is to con $783,000 hybrid bus. to do everything we can for the The original version of this story was diesel buses with the costlier taxpayers into giving them more posted online on Sept. 9, 2010. It is Cities across Michigan are environment. We need to attach green buses. CATA has gone to money,” O’Toole said. “Taxpayers available with hyperlinks and more touting their new “green fleets” a cost to that. In general, transit voters in its last two millages will give them money for gee-whiz info at www.MichCapCon.com/13524. as good for the environment. agencies don’t do that. And neither Lansing’s Capital Area Transit does government.” Authority claims its growing Randal O’Toole, a senior fellow hybrid buses cut emissions by at the Cato Institute, studied 90 percent. hybrid buses in Minneapolis. Inspire YOur But some transit experts are He found that the cost to saying it is poor public policy reduce carbon dioxide for the Desktop and that the costs far exceed any Minneapolis hybrid bus was New! Download free backgrounds for your environmental gain. $1,000 per metric ton. O’Toole computer, iPad or iPhone from this month’s The “eco” buses can cost said the going rate in the collection of Mackinac Center wallpapers anywhere from 50 to 100 percent marketplace is $10 per metric ton. more than a regular diesel bus, “I think it is a huge waste of and that doesn’t include the money,” O’Toole said. “Hybrid infrastructure costs that tag buses are not an effective way of along. For example, Flint’s Mass reducing carbon emission.” Freedom makes Transportation Authority’s web O’Toole said municipalities site states it has plans to spend don’t take much easier and less this even $10 million converting 50 diesel expensive steps to reduce carbon more beautiful buses to hybrid technology, dioxide, such as traffic signal at a cost of $200,000 per bus. coordination. He says a study by Michigan Capitol Confidential Winter 2011 | 12

09 19 29 34 Information appears as follows: Bieda, Steven M.: D nofs, mike: r Hildenbrand, Dave: R Hansen, Goeff: R 310 Farnum Building S-132 Capitol Building 920 Farnum Building 420 Farnum Building Why we give Party State Senate District 517-373-8360 517-373-2426 517-373-1801 517-373-1635 Last Name, First Name: Party [email protected] [email protected] [email protected] [email protected] Affiliations: Location The Legislature is managed Phone 10 30 35 Rocca, Tory: R 20 Meekhof, Arlan B.: R Booher, Darwin L.: R E-mail 205 Farnum Building Schuitmaker, Tonya: R S-8 Capitol Building 520 Farnum Building as a partisan institution. — 517-373-7315 405 Farnum Building 517-373-6920 517-373-1725 Lawmakers segregate New members highlighted in [email protected] 517-373-0793 [email protected] [email protected] [email protected] themselves by party in matters yellow 11 31 36 Brandenburg, Jack: R 21 Green, Mike: R Moolenaar, John: R from daily meetings to seating. 605 Farnum Building Proos, John: R 805 Farnum Building 715 Farnum Building 517-373-7670 820 Farnum Building 517-373-1777 517-373-7946 They have separate and 01 [email protected] 517-373-6960 [email protected] [email protected] Young II, Coleman: D [email protected] taxpayer-financed policy staffs 410 Farnum Building 12 32 37 517-373-7346 Marleau, Jim: R 22 Kahn, Roger MD: R Walker, Howard: R to provide them with research [email protected] 1010 Farnum Building Hune, Joe: R S-324 Capitol Building 910 Farnum Building 517-373-2417 505 Farnum Building 517-373-1760 517-373-2413 and advice from differing 02 [email protected] 517-373-2420 [email protected] [email protected] Johnson, Bert: D [email protected] perspectives. As such, gaining 220 Farnum Building 13 33 38 a full understanding of the vote 517-373-7748 Pappageorge, John: R 23 Emmons, Judy K.: R Casperson, Tom: R [email protected] S-2 Capitol Building Whitmer, Gretchen: D 1005 Farnum Building 705 Farnum Building of an individual lawmaker 517-373-2523 S-105 Capitol Building 517-373-3760 517-373-7840 03 [email protected] 517-373-1734 [email protected] [email protected] requires knowing his or her Hood III, Morris W.: D [email protected] 710 Farnum Building 14 partisan affiliation. 517-373-0990 Gregory, Vincent: D 24 [email protected] 1015 Farnum Building Jones, Rick: R 517-373-7888 915 Farnum Building 04 [email protected] 517-373-3447 Smith, Virgil: D [email protected] 510 Farnum Building 15 517-373-7918 Kowall, Mike: R 25 [email protected] 305 Farnum Building Pavlov, Phil: R 517-373-1758 905 Farnum Building 05 [email protected] 517-373-7708 Hunter, Tupac A.: D [email protected] S-9 Capitol Building 16 517-373-0994 CASWELL, BRUCE: R 26 [email protected] 720 Farnum Building Robertson, David B.: R 517-373-5932 320 Farnum Building 06 [email protected] 517-373-1636 Anderson, Glenn S.: D [email protected] 610 Farnum Building 17 Who are 517-373-1707 Richardville, Randy: R 27 [email protected] S-106 Capitol Building Gleason, John: D 517-373-3543 315 Farnum Building 07 [email protected] 517-373-0142 Colbeck, Patrick: R [email protected] 1020 Farnum Building your 18 517-373-7350 Warren, Rebekah: D 28 [email protected] 415 Farnum Building Jansen, Mark C.: R 517-373-2406 S-310 Capitol Building 08 [email protected] 517-373-0797 Hopgood, Hoon-Yung: D [email protected] lawmakers? 515 Farnum Building 517-373-7800 [email protected]

Members of the Michigan House and Senate are the second highest- paid state legislators in the United States, behind California. Base member annual pay: $79,650 Additional annual expense allowance: $12,000 Supplements are paid to the following 12 legislative officers: Speaker of the House: $27,000 Majority leader in the Senate: $26,000 Minority leaders in both House and Senate: $22,000 To find out which lawmakers represent you and to Majority floor leaders in both House and Senate: $12,000 Minority floor leaders in both House and Senate: $10,000 view interactive legislative district maps, please point Chair of Appropriations Committee in both House and Senate: $7,000 House speaker pro tempore and Senate president pro tempore: $5,513 your web browser to www.mackinac.org/9313. In more than 30 states, the position of state legislator is a part-time job with a salary of $30,000 or less. Texas — the second most populous state and second largest geographically — pays lawmakers $7,200 per year. If you do not have Internet access, then you may obtain copies of legislative Some pay much less: New Hampshire legislators are paid a salary of $200 for a two-year term of office; district maps by calling 989-631-0900 or by sending a written request to us at: Alabama pays $10 per day; and New Mexico offers no salary at all — just expenses. + Mackinac Center for Public Policy, c/o MiCapCon District Maps 140 West Main Street, Midland, MI 48640 Did you know? Michigan Capitol Confidential Winter 2011 | 13

018 038 058 078 095 Information appears as follows: LeBlanc, Richard: D Crawford, Hugh: R Kurtz, Kenneth: R Tyler, Sharon: R Oakes, Stacy Erwin: D N 0697 HOB / 517-373-2576 S 0887 HOB / 517-373-0827 N 0992 HOB / 517-373-1794 N 1097 HOB / 517-373-1796 N 1199 HOB / 517-373-0152 State House District [email protected] [email protected] [email protected] [email protected] [email protected] Last Name, First Name: Party Location / Phone 019 039 059 079 096 E-mail Walsh, John: R Brown, Lisa: D Lori, Matt: R Pscholka, Al: R Brunner, Charles M.: D 251 CB / 517-373-3920 S 0888 HOB / 517-373-1799 N 0993 HOB / 517-373-0832 N 1098 HOB / 517-373-1403 S 1285 HOB / 517-373-0158 — [email protected] [email protected] [email protected] [email protected] [email protected] HOB = House Office Building CB = Capitol Building 020 040 060 080 097 Heise, Kurt: R Moss, Chuck: R McCann, Sean: D Nesbitt, Aric: R Johnson, Joel: R N 0699 HOB / 517-373-3816 351 CB / 517-373-8670 N 0994 HOB / 517-373-1785 N 1099 HOB / 517-373-0839 S 1286 HOB / 517-373-8962 [email protected] [email protected] [email protected] [email protected] [email protected]

001 021 041 061 081 098 Bledsoe, Timothy: D Slavens, Dian: D Knollenberg, Marty: R O’Brien, Margaret E.: R Gilbert, Jud: R Stamas, Jim: R S 0585 HOB / 517-373-0154 S 0785 HOB / 517-373-2575 N 0890 HOB / 517-373-1783 N 0995 HOB / 517-373-1774 S 1185 HOB / 517-373-1790 153 CB / 517-373-1791 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 002 022 042 062 082 099 Howze, Lisa L.: D Geiss, Douglas: D Haugh, Harold: D Segal, Kate: D Daley, Kevin: R Cotter, Kevin: R S 0586 HOB / 517-373-0106 S 0786 HOB / 517-373-0852 N 0891 HOB / 517-373-0854 141 CB / 517-373-0555 S 1186 HOB / 517-373-1800 S 1288 HOB / 517-373-1789 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 003 023 043 063 083 100 Talabi, Alberta Tinsley: D Somerville, Pat: R Haines, Gail: R Bolger, James: R Muxlow, Paul: R Bumstead, Jon: R S 0587 HOB / 517-373-1776 S 0787 HOB / 517-373-0855 N 0892 HOB / 517-373-0615 164 CB / 517-373-1787 S 1187 HOB / 517-373-0835 S 1289 HOB / 517-373-7317 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 004 024 044 064 084 101 Stapleton, Maureen L.: D Forlini, Anthony G.: R Kowall, Eileen: R Poleski, Earl: R Damrow, Kurt: R Franz, Ray A.: R S 0588 HOB / 517-373-1008 S 0788 HOB / 517-373-0113 N 0893 HOB / 517-373-2616 N 0998 HOB / 517-373-1795 S 1188 HOB / 517-373-0476 S 1385 HOB / 517-373-0825 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 005 025 045 065 085 102 Olumba, John: D Switalski, Jon: D McMillin, Tom: R Shirkey, Mike: R Glardon, Ben: R Potvin, Phil: R S 0589 HOB / 517-373-0144 S 0789 HOB / 517-373-1772 N 0894 HOB / 517-373-1773 N 0999 HOB / 517-373-1775 S 1189 HOB / 517-373-0841 S 1386 HOB / 517-373-1747 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 006 026 046 066 086 103 Durhal Jr., Fred: D Townsend, Jim: D Jacobsen, Bradford C.: R Rogers, Bill: R Lyons, Lisa Posthumus: R Rendon, Bruce R.: R S 0685 HOB / 517-373-0844 N 0790 HOB / 517-373-3818 N 0895 HOB / 517-373-1798 S 1085 HOB / 517-373-1784 N 1190 HOB / 517-373-0846 S 1387 HOB / 517-373-3817 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 007 027 047 067 087 104 Womack, Jimmy: D Lipton, Ellen: D Denby, Cindy: R Byrum, Barb: D Callton, D.C., Mike: R Schmidt, Wayne: R S 0686 HOB / 517-373-0589 N 0791 HOB / 517-373-0478 N 0896 HOB / 517-373-8835 S 1086 HOB / 517-373-0587 N 1191 HOB / 517-373-0842 S 1388 HOB / 517-373-1766 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 008 028 048 068 088 105 Stallworth III, Thomas: D Liss, Lesia: D Hammel, Richard: D Bauer, Joan: D Genetski, Bob: R MacMaster, Greg: R S 0687 HOB / 517-373-2276 N 0792 HOB / 517-373-2275 167 CB / 517-373-7557 S 1087 HOB / 517-373-0826 N 1192, HOB / 517-373-0836 S 1389 HOB / 517-373-0829 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 009 029 049 069 089 106 Jackson, Shanelle: D Melton, Tim: D Ananich, Jim: D Meadows, Mark: D Price, Amanda: R Pettalia, Peter: R S 0688 HOB / 517-373-1705 N 0793 HOB / 517-373-0475 N 0898 HOB / 517-373-7515 S 1088 HOB / 517-373-1786 N 1193 HOB / 517-373-0838 S 1485 HOB / 517-373-0833 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 010 030 050 070 090 107 Santana, Harvey: D Farrington, Jeff: R Smiley, Charles: D Outman, Rick: R Haveman, Joseph: R Foster, Frank D.: R S 0689 HOB / 517-373-6990 N 0794 HOB / 517-373-7768 N 0899 HOB / 517-373-3906 S 1089 HOB / 517-373-0834 N 1194 HOB / 517-373-0830 S 1486 HOB / 517-373-2629 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 011 031 051 071 091 108 Nathan, David: D Lane, Marilyn: D Scott, Paul: R Shaughnessy, Deb: R Hughes, Holly: R McBroom, Edward: R N 0690 HOB / 517-373-3815 N 0795 HOB / 517-373-0159 S 0985 HOB / 517-373-1780 N 1090 HOB / 517-373-0853 N 1195 HOB / 517-373-3436 S 1487 HOB / 517-373-0156 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 012 032 052 072 092 109 Tlaib, Rashida: D LaFontaine, Andrea: R Ouimet, Mark: R Yonker, Ken: R Hovey-Wright, Marcia: D Lindberg, Steven: D N 0691 HOB / 517-373-0823 N 0796 HOB / 517-373-8931 S 0986 HOB / 517-373-0828 N 1091 HOB / 517-373-0840 N 1196 HOB / 517-373-2646 S 1488 HOB / 517-373-0498 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 013 033 053 073 093 110 Kandrevas, Andrew: D Goike, Ken: R Irwin, Jeff: D MacGregor, Peter: R Opsommer, Paul: R Huuki, Matt: R N 0692 HOB / 517-373-0845 N 0797 HOB / 517-373-0820 S 0987 HOB / 517-373-2577 N 1092 HOB / 517-373-0218 N 1197 HOB / 517-373-1778 S 1489 HOB / 517-373-0850 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] 014 034 054 074 094 Clemente, Paul: D Stanley, Woodrow: D Rutledge, David: D Agema, David: R Horn, Kenneth: R N 0693 HOB / 517-373-0140 N 0798 HOB / 517-373-8808 S 0988 HOB / 517-373-1771 N 1093 HOB / 517-373-8900 N 1198 HOB / 517-373-0837 [email protected] [email protected] [email protected] [email protected] [email protected] 015 035 055 075 Darany, George T.: D Hobbs, Rudy: D Olson, Rick: R Dillon, Brandon: D N 0694 HOB / 517-373-0847 N 0799 HOB / 517-373-1788 S 0989 HOB / 517-373-1792 N 1094 HOB / 517-373-2668 [email protected] [email protected] [email protected] [email protected] Who Is Your Lawmaker? 016 036 056 076 Constan, Bob: D Lund, Pete: R Zorn, Dale W.: R Schmidt, Roy: D www.mackinac.org/9313 N 0695 HOB / 517-373-0849 374 CB / 517-373-0843 N 0990 HOB / 517-373-2617 N 1095 HOB / 517-373-0822 [email protected] [email protected] [email protected] [email protected] 017 037 057 077 Cavanagh, Philip M.: D Barnett, Vicki: D Jenkins, Nancy E.: R Hooker, Thomas B.: R N 696 HOB / 517-373-0857 S 0886 HOB / 517-373-1793 N 0991 HOB / 517-373-1706 N 1096 HOB / 517-373-2277 [email protected] [email protected] [email protected] [email protected] Michigan Capitol Confidential Winter 2011 | 14

MEA PAC (Elsenheimer is the current GOP Minority Leader in the Sports Spending at from Page 5 Michigan House) to the union’s agenda. He Sen. Mike Bishop, publicly challenged the cost (see R-Rochester: $2,000 Bloomfield Hills Schools www.MichCapCon.com/12717) (Bishop is the current Senate of school employee pay and Majority Leader) benefits and criticized the Sen. John Pappageorge, House majority (see www R-Troy: $1,550 is $285 Per Pupil .MichCapCon.com/9913) for Former Rep. Tim Moore, increasing K-12 spending R-Farwell: $1,500 (Resigned from Legislature By Tom Gantert a $285 cost-per pupil. Bloomfield The money came out of school’s beyond the available revenue. Hills’ total net cost was $1.5 million. “athletic fund” and is designated for A listing of Republican to become elementary school n the Ann Arbor Public School Now parents are feeling the athletic activities. state lawmakers and legislative principal) system, compensation in the budget crunch. Schools that hire coaches that candidates who have accepted Rep. Kevin Green, athleticI department for coaches With 36 varsity sports at each are not on the school’s payroll more than $1,000 from the R-Wyoming: $1,240 and staff throughout the district of the two high schools and a third incur less cost. That’s because if the MEA since 2009 is noted below. Rep. Geoff Hansen, R-Hart: was $2.4 million in 2009. The dis- newer high school offering, Ann This listing includes both the $1,200 trict had to pay almost $500,000 in coach is also employed separately Arbor Public Schools started a “pay main campaign accounts of the Rep. Jim Marleau, R-Lake pension contributions in 2009 for within the district, the school to participate” system. At the high politician and any leadership Orion: $1,100 its coaching and athletic depart- would likely be required to make a school level, parents must pay $150 accounts (where applicable). (Marleau is now a candidate ment staff. 16.9 percent mandatory retirement for the first sport and $75 for each Republicans receiving for the Michigan Senate) Sports are major budget line payment contribution for the coach’s additional sport, according to Ann more than $1000 in MEA-PAC Rep. Gail Haines, items in many public schools. additional sporting stipend. That R-Waterford: $1,050 Arbor Public School Spokeswoman donations since start of 2009: “It’s not trivial,” said Michael Van school contribution increased to Rep. Phil Pavlov, R-St. Clair: Liz Margolis. Mike Callton - GOP Beek, the education policy director 20.6 percent in 2010. $1,050 Margolis gave golf as an example. candidate for House: $5,000 for the Mackinac Center for Public For example, Ann Arbor paid Rep. Jim Stamas, R-Midland: Parents pay $150 for each child. But Sen. Roger Kahn, R-Saginaw: Policy who did the analysis. “I don’t an extra $426,482 in 2009 for $1,025 Margolis said the school’s booster $4,350 think people really know how much retirement contributions towards Rep. Ken Horn, program also asks each parent to Sen. Randy Richardville, schools spend on athletics.” Michigan Public School Employees R-Frankenmuth: $1,000 pay an additional $200 voluntarily. R-Monroe: $3,300 Ann Arbor, which has an Retirement System, based upon just Rep. Paul Scott, R-Grand Sen. Mike Nofs, R-Battle Creek: Margolis said the parents are enrollment of about 16,500 students, the extra stipends it pays for salaries Blanc: $3,000 $500 for current election cycle paying at a time when the district has spent $148 per pupil on athletic to athletic department employees. Sen. Wayne Kuipers, and $5,600 for special election to cut its athletic fund by 10 percent. + coaches and administrators, which Van Beek said it is easier to R-Holland: $2,500 Senate in early 2009. includes salaries, health benefits “It’s very expensive and parents ask parents to pay more than to (Kuipers is the chair of the and other non-payroll professional foot the bill now,” Margolis said. The original version of this story was get unions to give up high-priced Senate Education committee) posted online on Oct. 20, 2010. It is Van Beek did the analysis and technical services such as field + Rep. Kevin Elsenheimer, available with hyperlinks and more from information he received insurance plans. maintenance. R-Bellaire: $2,050 info at www.MichCapCon.com/13788. However, Ann Arbor was not from the Center for Educational The original version of this story was close to the highest cost-per-pupil in Performance and Information. The posted online on Oct. 27, 2010. It is the state for athletic spending. That data is what the schools report to available with hyperlinks and more info was Bloomfield Hills, which had the state of Michigan. at www.MichCapCon.com/13880. Become a Member Today!

We believe, as our country’s Founders did, that liberty and sound Informative. Investigative. Daily. Online. policy can never be taken for granted. Their preservation requires

vigilance during each generation from both us and citizens like you. A news service for the people of Michigan from the Mackinac Center for Public Policy MichCapCon.com

If you share this goal, we would welcome your generous contribution to the Mackinac Center in any amount. Even a $40 donation is a tremendous help. Contribute using the enclosed envelope or online at www.mackinac.org/give. Michigan Capitol Confidential Winter 2011 | 15 Teacher Union Doubles Republican Count on School Advocacy in Bond Recommendation List Elections Questioned By Tom Gantert would contribute “to a more As for, “Fund Our Future”, nurturing learning environment Serkaian said, “It’s just a slogan.” By Tom Gantert conservative and 63 percent of wo school districts could have for our kids” and that the fund “We designed these pieces to Editor’s note: This story is a follow- teachers age 40 to 49 classified been in violation of state law would be created by “a slight” up to a story posted on page 7. themselves as conservative. Tby using school resources to pro- communicate factually what we The MEA represents more than millage increase. believe to be the essence of this he Michigan Education mote their funding proposals. 157,000 teachers, faculty and Bob LaBrant, Senior Vice proposal and rely on the citizens Association appears to The Lansing School District education support staff. President for Political Affairs and of Lansing to make their own Thave doubled its number of released a flier promoting its It appears MEA updated its General Counsel for the Michigan recommended Republican bond that asked residents to vote judgment,” Serkaian said. “recommended candidates” list Chamber of Commerce, took candidates for the Michigan and added a promotional slogan: At Lake Orion, the e-mail was on Friday to include incumbent exception to the terms “Fund Our Legislature and Congress from “Preserve Our Heritage. Fund sent by a teacher using her school Republican Congressman Future.” three to six less than a week after Our Future.” Lake Orion School e-mail and stated they were Fred Upton of St. Joseph, and “That is about as close to Michigan Capitol Confidential District had an internal e-mail looking for parent volunteers state Sen. Mike Nofs of Battle pointed out that state’s teachers sent out asking for volunteers to “If you call them for the bond to be voted on in Creek, and Bradford Jacobsen, union had recommended voting make phone calls about the bond. and say, ‘I’m against February of 2011. An attached who is running for the 46th overwhelmingly for Democratic A Lansing School District the bond,’ they’ll document further explained: district in the state House of candidates (see www. spokesman defended the flier, “We need help from each of Representatives. say, ‘Thank you and MichCapCon.com/13758). saying encouragement to “Fund our classrooms throughout the The MEA recommendations have a nice day,’ … The MEA “recommended” Our Future” was just a slogan. district. I am in need of two were lasted updated Oct. 22, 111 Democratic candidates for An attorney representing It is school resources volunteers in our classroom to be 2010 according to its web site. 114 races in its October magazine. the Lake Orion district said the that is recruiting in charge of making phone calls in Steve Sachs, campaign The three Republicans were school was “headed down the regard to the bond.” manager for Nofs, didn’t know volunteers to pass a Michigan House candidates Mike wrong path” with its e-mail. Eric Doster, the general about the MEA endorsement bond proposal. That is Callton of Nashville and Peter “We stopped it very quickly,” counsel for the state Republican MacGregor of Rockford, and state when first contacted by Michigan said Jim Crowley, an attorney exactly what they are Capitol Confidential early Friday party, said it was obvious the Sen. Roger Kahn of Saginaw. representing Lake Orion doing.” school was recruiting volunteers Michigan Capitol afternoon. He later checked School District. Crowley said and confirmed that they were in favor of the bond. Confidential’s article a committee to set up passing coming to a ‘Yes’ vote as you are “If you call them and say, ‘I’m notified recently. the bond was formed that didn’t highlighted the highly partisan going to find,” LaBrant said. “If against the bond,’ they’ll say, “They just literally made the involve any school resources. recommendations of 97 percent you don’t have the toe over the ‘Thank you and have a nice day,’ “ appeared to conflict with announcement today or late last There have been numerous line, it’s millimeters away from Doster said. “It is school resources National Education Association night,” Sachs said. reports this election campaign touching it.” that is recruiting volunteers to president Dennis Van Roekel’s Doug Pratt, MEA Spokesman, season regarding school districts Steve Serkaian, spokesman didn’t return an e-mail seeking pass a bond proposal. That is message of non-partisanship crossing the campaign finance for the Lansing School District, + + exactly what they are doing.” when tackling school issues. comment. laws that forbid schools from said the school was only The MEA’s October magazine using school resources to promote The original version of this story was encouraging residents to vote The original version of this story was also included a NEA survey that posted online on Oct. 23, 2010. It is a candidate or a funding issue. on the sinking fund and not posted online on Nov. 1, 2010. It is 45 percent of teachers under available with hyperlinks and more The Lansing flier had advocating a “Yes” vote. available with hyperlinks and more 30 classified themselves as info at www.MichCapCon.com/13829. statements that the sinking fund info at www.MichCapCon.com/13910.

Do you like what you’re Reading? Then tell us to keep it coming! If you haven’t contacted us yet but would like to keep receiving Michigan Capitol Confidential, we need you to e-mail us at [email protected] or call 989-631-0900 to let us know that we should keep sending it. That’s it!

If you have friends or family who would enjoy Michigan Capitol Confidential, please send us their names as well!T o help us publish and mail this newspaper, the Mackinac Center accepts donations in any amount. We are a 501(c)(3) charitable educational foundation, and your donation is 100 percent tax-deductible on your federal income tax form.

We look forward to hearing from you Michigan Capitol Confidential Winter 2011 | 16

A sampling of proposed state laws, as described on MichiganVotes.org

Due to a data-entry error, Rep. Dave House Bill 6285 House Bill 4903 Agema, R-Grandville, was listed on Narrow allowable film subsidy secrecy Ban environmental cleanup standards www.MichiganVotes.org as the sponsor Introduced by state Rep. Dave Agema, more stringent than federal of House Bill 5593, now Public Act 216 of R-Grandville 2009, which increased the state licensure Introduced by state Rep. Dave Agema, R-Grandville fees imposed on nurses. This error was The bill would narrow the scope of a Freedom printed in “Just a Bill” in the last edition of Information Act exemption in the state film The bill would prohibit state hazardous of Michigan Capitol Confidential. House subsidy law. Under current law the state Film substance environmental cleanup standards Bill 5593 was actually sponsored by Rep. Office can keep secret information, records or regulations than are more stringent than Alma Wheeler Smith, D-Salem Township. There were no co-sponsors. Rep Agema or other data submitted on commercial and required by federal law. voted “no” on the bill when it passed the financial operations submitted by a production House on Dec. 10, 2009. company. The bill removes this part the FOIA House Bill 6114 MichiganVotes.org and Michigan Capitol exemption, limiting it to just intellectual Cut MBT, replace revenue by eliminating Confidential apologize to Rep. Agema for property or information whose release may put selective tax breaks, subsidies the error. Below are some of the real bills the company at a competitive disadvantage. Introduced by state Rep. Dave Agema, Rep. Agema has sponsored. R-Grandville House Bill 5594 The bill would eliminate any future selective House Bill 5523 Mandate public schools privatize Michigan Business Tax business tax breaks non-instructional services Repeal “prevailing wage” law being granted by government “economic Introduced by state Rep. Dave Agema, development” agency officials to firms that also Introduced by state Rep. Dave Agema, R-Grandville R-Grandville enjoy “renaissance zone” tax exemptions. The bill would require public school districts to The bill would revise references in the state contract out custodial, transportation and food House Bill 6259 school code to reflect the repeal of the state services. They would have to use competitive “prevailing wage” law proposed by House Create incentive for state employees bidding to award contracts more than $20,000. to spend less than appropriated Bill 5522. The “prevailing wage” law which prohibits awarding government contracts, Introduced by state Rep. Dave Agema, R-Grandville including school building and repair projects, House Bill 6286 to contractors who submit the lowest bid Require proof of citizenship The bill would give employees in a state unless the contractor pays “prevailing wages,” to register to vote agency 30 percent of the savings realized in which are based on union pay scales in a Introduced by state Rep. Dave Agema, a given fiscal year between the amount that R-Grandville particular part of a geographic region. These was appropriated for the agency’s annual wage rates may be above the market rate in The bill would require a person to provide budget and how much less than this was + other parts of the region. proof of United States citizenship when actually spent. registering to vote.