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Budget Proposals Could Save State More Than $2 Billion The Newsletter of the Mackinac Center for Public Policy • www.mackinac.org • Spring 2003 Budget Proposals Could Save State More than $2 Billion hen Michigan lawmakers needed specifics outright elimination of programs the private Won how to close Michigan’s looming $1.7 sector is better equipped to handle,” LaFaive told billion budget deficit, they didn’t have to look reporters throughout the state. far. Mackinac Center Director of Fiscal Policy Among the Mackinac Center’s recommenda- Michael LaFaive examined the fiscal year 2003 tions was a proposal to eliminate in its entirety state budget item by item to come up with a Michigan’s Department of Career Development, grand total of $2,029,715,677 in recommended which provides services that duplicate, and often spending reductions and revenue enhancements interfere with, private sector providers of identical for fiscal year 2004 — more than enough to erase or superior services. Just taking this much-needed the deficit. step would save the state of Michigan nearly $460 If all 200-plus recommendations in the Macki- million per year — with $27 million saved in the nac Center study were adopted — including those general fund budget. Other proposals in the involving federal funds passed through the state study include contracting out for management of budget — the state budget would be reduced by the state prison system for savings of $253 million; 14.2 percent, or a total of $3.7 billion. and rolling back spending on community colleges “Some savings would result from scaling back and higher education for total savings of more current programs, others from contracting with than $320 million. more efficient service providers, still others from see “$2 Billion,” p. 4 CONTENTS Executive Vice President’s Message 2 “Six Habits” Recommended to Election Consolidation 3 ‘Living Wage’ Improve Public School District Finances Testimony 3 or years, the • minimize administrative costs; Media Highlights 5 FMackinac Center • take advantage of cost savings MEA Lawsuit 6 has been getting out from outsourcing non-instructional ‘Power to Choose’ 7 the message that services; Detroit Entrepreneur 8 Michigan schools • manage employee health ben- Your Legacy 8 looking for ways to efits effectively; cut costs need not do • structure capital costs effectively; Privatization 9 it by hurting the job • participate in Michigan’s Free-Market Library 10 they do for students in schools-of-choice program; and Prevailing Wage 12 the classroom. Now, • reform collective bargaining. they can follow the Coopersville public school superintendent Kevin In fact, “The Six Habits” was the O’Neill explains how his district saves money advice given in a new with ideas similar to those found in the Mackinac subject of a Dec. 11, 2002 forum at Mackinac Center report Center’s report. the Lansing Center, sponsored by on “The Six Habits of Fiscally Responsible School the Center and attended by more than 80 prin- Districts,” released in December. “The Six Habits” cipals, superintendents, school board members recommends that school districts: see “Six Habits,” p. 4 “Under Larry Reed, Mackinac [the Mackinac Center] quickly supplanted the fading Solidarity House, bastion of the aggressively liberal United Auto Workers, as a fount of political ideas.” www.mackinac.org-- Thomas | Bray, Spring The Detroit2003 News 1 Mackinac Center IMPACT EXECUTIVE VICE PRESIDENT’S MESSAGE BOARD OF DIRECTORS D. Joseph Olson, Chairman With Friends Like This, Lawrence Reed, President Peter Cook Rodney Lockwood, Jr. Hon. Paul Gadola Joseph Maguire BoardRichard Haworth of DirectorsRichard McLellan We’re Winning Mara Letica James Rodney rinted below is part of a letter we received, along Edward Levy, Jr. Linda Rodney Pwith a gift, from long-time Mackinac Center friend Bill Griesinger. Bill is a former St. Joseph resident temporarily BOARD OF SCHOLARS working in Brazil. I think you’ll find his words as inspiring Dr. Donald Alexander Dr. David Janda Institute for Preventative and encouraging as we do. Bill kindly allowed us to make Western Michigan University Dr. William Allen Sports Medicine minor edits. Michigan State University Annette Kirk Dr. John Attarian Russell Kirk Center Dear Larry and Staff: Board of Scholarsfor Cultural Renewal Freelance Writer Dr. Robert Kleiman “While my gift will not rank among the largest contribu- Dr. Thomas Bertonneau Oakland University tions to the Mackinac Center, I can assure you it ranks as Writer and Independent Scholar Dr. Dale Matcheck Joseph G. Lehman Dr. Brad Birzer high as any in terms of my gratitude and appreciation for, Northwood University Executive Hillsdale College Dr. Paul McCracken Vice President and inspiration from, the work that you do each and every Dr. Peter Boettke University of Michigan George Mason University day to advance the cause of a more free and civil society.” Charles Meiser Dr. William Browne Lake Superior State University “My appreciation is even more pronounced after 18 months in Brazil. It Central Michigan University Glenn Moots is amazing to encounter fairly intelligent people here who really do not grasp Dr. Stephen Colarelli Northwood University Central Michigan University either the meaning or importance of individual liberty in their daily lives. They Dr. George Nastas III Andrew Coulson Marketing Consultants see no harm or danger in turning to government for “solutions” to problems Mackinac Center for Public Policy Dr. John Pafford Dr. Keith Crocker large and small. … This is why the work of the Mackinac Center and other free- Northwood University University of Michigan dom-promoting organizations is so vital.” Dr. Mark Perry Robert Crowner University of Michigan - Flint “Although your talented staff probably needs no reminders of the impor- Eastern Michigan University Dr. Leonard Plachta Dr. Richard Cutler tance of their work, its significance was certainly underscored by the frivolous Central Michigan University (ret.) Michigan Association of Scholars Dr. Karen Potter-Witter lawsuit filed by the Michigan Education Association against the Mackinac Robert Daddow Michigan State University Center. This despicable ploy illustrates the fragility of some of our basic Oakland County Executive Gregory Rehmke Dr. Stephen Dresch liberties. It is a stark reminder of how organizations like the MEA are bent on Foundation for Jhéön & Associates Economic Education forcing their ideology on others at all costs, not through debate and intelligent Dr. Richard Ebeling Dr. Steve Safranek Hillsdale College discourse in the arena of public opinion, but through the use of force and coer- Ave Maria School of Law Dr. Jefferson Edgens Louis Schimmel, Jr. cion of the state to achieve their ends.” University of Kentucky Schimmel Municipal “While reading my Mackinac Center packet, Alfredo Esposto Consultants, LLC I was reminded I was practically moved to tears of anger and Eastern Michigan University Dr. Howard Schwartz Dr. David Felbeck astonishment by the political maneuvering of the Oakland University of how thankful University of Michigan (ret.) James Sheehan MEA against the Mackinac Center. Why? Because Dr. Wayland Gardner Competitive Enterprise Institute I am to have all at once, all rolled into one, I was reminded of Western Michigan University (ret.) Rev. Robert Sirico Dr. Wolfgang Grassl Acton Institute for the the Mackinac the work done and risks taken by our founding Hillsdale College Study of Religion and Liberty fathers, of the price that so many paid, even death, John Grether Dr. John Taylor Center advancing Northwood University to secure and maintain these rights for us, and of Wayne State University individual freedom Dr. Robert C. Hanna Prof. Harry Veryser, Jr. the vigilance necessary to continually preserve Hillsdale College Walsh College and individual and guard against the erosion of these rights by Dr. Dale Haywood John Walter, Jr. responsibility. Northwood University Dow Corning Corporation (ret.) the MEAs of the world. … At the same time, I was Dr. Michael Heberling Dr. William Wilson reminded of how thankful I am to have the Macki- Baker College Economic Consultant nac Center advancing individual freedom and individual responsibility.” Dr. Ormand Hook Dr. Martin Wing Mecosta-Osceola Kettering University “Injustices like the MEA lawsuit are clear reminders of the constant vigilance Intermediate School District Dr. Gary Wolfram we must keep to advance the cause of freedom so eloquently defended by the Prof. Harry Hutchison Hillsdale College University of Detroit Law School Mackinac Center. I appreciate most the clarity of your arguments and the con- sistency of principle with which you make them.” Dear Bill: We appreciate your eloquent clarity and commitment to free- dom, too. With your help, we are winning. I Mackinac Center for Public Policy 140 West Main Street P.O. Box 568 Midland, Michigan 48640 (989) 631-0900 • Fax (989) 631-0964 www.mackinac.org • [email protected] Mackinac Center IMPACT is a quarterly publication of the Mackinac Center for Public Policy, a nonprofit, nonpartisan, tax-exempt research and educational organization classified under section 501(c)(3) of the IRS code. Joseph Lehman Daniel Montgomery Samuel Walker Editor Graphic Designer Associate Editor Mackinac Center IMPACT 2 2 Summer Spring 2002 2003 | | www.mackinac.org www.mackinac.org www.mackinac.org | Spring 2003 3 Mackinac Center IMPACT Secretary of State Meets with Mackinac Center Leaders to Discuss School Election Reform n Jan. 23, newly elected Michigan Secretary consolidated with Michigan’s general elections in Oof State Terry Lynn Land paid a visit to the order to increase voter participation, and con- Mackinac Center for Public Policy, to confer with sequently, school district accountability. Since Center staffers on a number of important issues Land’s visit, a package of bills has been proposed as she sets her policy agenda for the coming term. to do just that (see House Bills 4820 through 4828 Land and members on MichiganVotes.org). of her staff met with Land also was interested in a Mackinac Center President Lawrence proposal to raise the $3 fee that is currently W. Reed and other charged for notary public services.
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