e-Newsletter, October 19, 2009

LEGISLATIVE UPDATE

EIGHT BUDGET BILLS SIGNED INTO LAW

Community Colleges
The fiscal year 2010 funding for the state’s 28 community colleges is $299.4 million, the same level as 2009. The funding helps Michigan’s community colleges provide over 448,000 residents with affordable access to postsecondary education. Funding of $3.3 million is maintained for the At-Risk Student Success Program.

Judiciary
The total operating budget for the judiciary for fiscal year 2010 is $258.8 million, which includes $153.1 million in general fund money. The budget supports the essential operations of the judiciary and provides $5.1 million for drug treatment courts that hold offenders accountable for their behavior while providing treatment for substance abuse problems. Successful substance abuse treatment can reduce long, costly incarcerations and recidivism at both the local and state levels.

Department of Military and Veterans Affairs
The fiscal year 2010 appropriation for the Department of Military and Veterans Affairs is $146.1 million, which includes $36.4 million in general fund money.

The budget:

  • maintains $42.7 million in funding for military training sites, headquarters and armories for homeland security;
  • provides $65.4 million for the Grand Rapids and D.J. Jacobetti veterans’ homes which currently serve 900 veterans;
  • allocates $15 million in capital outlay funds for special maintenance and remodeling of National Guard facilities;
  • appropriates $4.7 million to manage the Michigan Youth Challenge Academy for high school dropouts and at-risk youth;
  • provides $1 million for the Military Family Relief Fund to assist families of Michigan’s active duty National Guard and military reserve members;
  • allocates $3 million to veterans’ service organizations for veterans’ benefits counseling and assistance.

Department of Corrections
The total operating budget for the Department of Corrections for fiscal year 2010 is $1.93 billion, which includes $1.87 billion in general fund money. The budget represents $120 million in cost savings.

Included in the budget is $1.6 billion to operate a safe and secure prison system that is diminishing in size because of a declining prisoner population, and $207 million to oversee and supervise the growing parolee and probationer populations. It also includes $115 million for community-based programs for low-level offenders as well as the Michigan Prisoner Reentry Initiative to reduce the state’s costly recidivism rate by better preparing inmates for release.

The governor vetoed three line items. One line item was a negative $38.2 million which represents cost savings unspecified by the Legislature. The other two line items deal with the County Jail Reimbursement Program. One increased funding for the program by $4.3 million while the other funded the increase with $4.3 million in unspecified cost savings.

Department of Education
The fiscal year 2010 appropriation for the Department of Education is $112.9 million, which includes $19.4 million in general fund money. The budget supports the department in its efforts to improve student achievement, administer the Library of Michigan, and administer school aid payments to local school districts. It also includes $13.7 million for operating the Michigan School for the Deaf and Blind.

Department of Transportation
The fiscal year 2010 budget for the Department of Transportation is $3.3 billion for departmental operations, state and local infrastructure repair and reconstruction projects, and other programs.

Nearly $2.3 billion is provided by the budget for state and local road and bridge construction and maintenance projects. The budget also provides $267 million for public transportation such as local bus, rail freight and marine programs. Another $125.7 million is for building and airport improvement projects.

The governor vetoed three line items. Two directed scarce transportation resources away from core program activities, while the third was for an unnecessary study.

Department of Agriculture
The total operating budget for the Department of Agriculture for fiscal year 2010 is $84.6 million, which includes $30.6 million in general fund money. The budget includes $17.7 million for food safety programs and consumer protection and $15 million for plant health, $10.3 million for environmental protection, and $9.6 million for animal health and disease efforts.

The governor vetoed appropriations for horse racing and the Office of Racing Commissioner, because the budget bill would authorize the expenditure of casino gaming revenues to subsidize horse racing.

Departments of Natural Resources and Environmental Quality
The fiscal year 2010 appropriation for the departments of Natural Resources (DNR) and Environmental Quality (DEQ) is $704.3 million, which includes $43.7 million in general fund money. The budget provides funding for a wide variety of environmental, recreational and conservation activities available to the public and supports essential operations of the two departments. It also includes $65 million in federal funds for the Great Lakes Restoration Initiative.

The governor vetoed:

  • A negative appropriation (cost savings) realized from consolidating the DNR and DEQ as outlined in the governor’s October 8 executive order. However, that order hasn’t taken effect yet, and existing law mandates continued operation of two separate departments.

  • $75,000 for a cormorant population mitigation program, because cormorants are migratory birds regulated and controlled by the federal government.

     

    SHOULD A COMPANY RECEIVING STATE DOLLARS BE PROHIBITED FROM ISSUING THEIR EXECUTIVES BONUSES IF THEY HAVE SHOWN NO PROFIT AND/OR HAVE DOWNSIZED THEIR WORKFORCE BY 10 PERCENT?

    I invite you to visit my website and participate in my current survey question on whether you support this proposal. I welcome you to click on the link below and share your thoughts on my current survey.

    http://www.senate.mi.gov/anderson

    It is extremely important for me to hear what you think about issues before the Michigan Legislature. I regularly post a new survey question on my website to receive your input on some of the issues facing our state. Most recently, I asked readers whether they would support a bill that would create a specialty license plate that would benefit the Susan G. Komen Foundation to battle breast cancer. Voters responded with 64% in favor of the proposal, 33% opposed, and 3% undecided.

     

    UPCOMING VETERAN’S DAY MOVIE

    In recognition of the tremendous sacrifice and service of America’s Military Veterans, I am pleased to host a free movie screening for the second year in a row. Veterans of Garden City, Livonia, Redford and Westland are invited to a free movie with complimentary snacks and gifts. The Veteran's Movie Day event will be held on Veteran's Day November 11, 2009 at 3:00 PM at the Livonia AMC 20. The concessions and film will be provided courtesy of AMC Theaters of Livonia. Seating is limited, so please contact my office to reserve a ticket for you and a guest. You may RSVP to my aide, Michelle, by phone at (866) 262-7306 or email at mmakarewicz@senate.mi.gov.

     

    SENATOR ANDERSON STANDS UP FOR EDUCATION AND PUBLIC SAFETY

    Recently, I opposed a proposal that would make drastic cuts to education while providing no comprehensive, long-term budget solution. The proposal also takes away tax breaks for struggling Michigan workers to fund another break for businesses instead of restoring the extreme, dangerous cuts they have made to education, public safety, and health care.

    The legislation passed still cuts School Aid funding $165 per pupil as well as other education programs. While this smaller cut represents an improvement is what Senate Republicans had first passed, it will still cause severe difficulties for our districts. In addition, the proposal freezes the Earned Income Tax Credit for Michigan families, and uses that revenue to help repeal the Michigan Business Tax Surcharge. While I support ending the MBT Surcharge, this shifting of the tax burden is not an appropriate way to pay for it.

     

    SENATE APPROVES UTILITY SHUTOFF REGULATION BILLS

    The State Senate voted this week to pass several pieces of legislation that would protect Michigan residents from dangerous utility shutoffs. The bills are part of an extensive bipartisan legislative package to ban winter utility shutoffs and regulate other shutoff practices for all utility companies throughout the state. The five bills that passed this week will allow the Michigan Public Service Commission (MPSC) to regulate municipal utilities to prevent utility shutoffs and help citizens keep their power on. This brings these utilities in line with what is already current law for other regulated utilities to ensure all consumers have the same protection against shutoffs.

    This legislative package was introduced to prevent tragedies like the death of Marvin Schur, a 93-year-old World War II veteran in Bay City. He was found frozen to death in his home last winter after Bay City Electric Light and Power, a municipal utility not subject to MPSC rules, placed an electric limiter on his home.

     

    NO WORKER LEFT BEHIND ENROLLMENT HITS 100,000 MARK

    Governor Jennifer M. Granholm recently announced that No Worker Left Behind, the state's job-training program, has reached its goal of enrolling 100,000 participants. The goal was attained 10 months earlier than anticipated.

    In a little more than two years, 102,413 people have enrolled for training through No Worker Left Behind. This program gives Michigan workers the opportunity to acquire the skills they need to win good-paying jobs in today's global economy. By reorganizing and augmenting federal funds currently used for workforce development, No Worker Left Behind provides qualifying participants two years of free tuition up to $10,000 at any Michigan community college, university or other approved training program.

    To learn more about the No Worker Left Behind initiative, visit the No Worker Left Behind Web site at www.michigan.gov/nwlb.

     

    GOVERNOR GRANHOLM SIGNS WIXOM PROJECT INCENTIVES INTO LAW

    Governor Jennifer M. Granholm recently announced approval of key state incentives to help move forward the transformation of the idled Wixom Assembly Plant into a renewable energy production center. The project is expected to directly employ an estimated 4,000 workers.

    The Michigan Economic Growth Authority (MEGA) approved clean-energy incentives to Clairvoyant Energy Solar Panel Manufacturing Inc. (www.clairvoyant-energy.com) and Xtreme Power Inc (www.xtremepowersolutions.com) Clairvoyant was approved for a photovoltaic MBT credit valued at $25 million over two years, and Xtreme Power Inc. was granted an advanced-battery credit, authorized under Public Act 110 of 2009, valued at $100 million over four years. Clairvoyant Energy and Xtreme Power plan investments of $857 million (over four phases) and $475 million, respectively, to redevelop the 320-acre plant site and its 4.7 million square feet of building space to manufacture solar power (Clairvoyant Energy) and energy-storage systems (Xtreme Power). The redevelopment work at the Wixom site is expected to begin early next year with manufacturing at the site slated to begin in late 2011. The redevelopment plan is expected to create more than 4,000 direct jobs, including 750 direct jobs by Clairvoyant, 2,500 direct jobs by Xtreme Power, and those created by local suppliers as well as thousands of indirect jobs.

    Michigan’s photovoltaic MBT credit provides a refundable tax credit for the construction and operation of a facility that develops and manufactures photovoltaic technology, photovoltaic systems or photovoltaic energy. The state’s advanced-battery incentive program provides refundable tax credits to encourage companies to develop and manufacture advanced batteries and commercialize advanced-battery technologies in Michigan.

     

    MICHIGAN GETS $38 MILLION TO HELP DISLOCATED WORKERS

    Michigan has been awarded $38 million by the United States Department of Labor (USDOL) to provide job retraining and career support services for 8,600 dislocated workers in 24 Michigan counties including Wayne County. The National Emergency Grants (NEGs) are funded by the American Recovery and Reinvestment Act (ARRA). The grants are intended to temporarily expand service capacity at the state and local levels by providing time-limited funding assistance in response to significant dislocation events. Funding is available to dislocated workers in the region for one year from the date of the award. Workers dislocated as of now and those who become dislocated over the next two months are eligible to receive training and support services.

     

    UNITED STATES DEPARTMENT OF COMMERCE LAUNCHES FIRST ONE-STOP SHOP IN MICHIGAN

    United States Commerce Secretary Gary Locke recently announced the launch of the Commerce Department’s business one-stop shop in Michigan. Locke announced the opening of the new facility, named CommerceConnect, at the Midwestern Governors Association Jobs and Energy Forum and later held a ribbon-cutting ceremony at the Michigan Manufacturing Technology Center in Plymouth. The state of Michigan partnered with businesses a year ago to launch a One-Stop Shop website for business. This tool provides quick information about permitting, start-ups, financing, taxes and other critical services and support for businesses.

    Now, Michigan will be linked to the Commerce Department as well. The new CommerceConnect office will help make the department’s services more accessible and Michigan businesses more competitive—putting all the department’s services under one roof with specialists trained on the broad range of programs Commerce offers. The one-stop initiative is focused on integrating Commerce Department programs to help businesses at every point of their life cycle, and the staff there will act as case workers for individual businesses that seek assistance.

    Visit Michigan’s One-Stop Shop website at http://www.michigan.gov/business.

     

    OFFICE OF FINANCIAL MANAGEMENT LAUDED FOR EXCEPTIONAL ACCOUNTING AND FINANCIAL REPORTING PRACTICES

    The state Office of Financial Management (OFM) has been awarded the Government Finance Officers Association (GFOA) Certificate of Achievement for Excellence in Financial Reporting for the State of Michigan Comprehensive Annual Financial Report (SOMCAFR) for the 2008 fiscal year.

    The Certificate of Achievement is a prestigious national award that is the highest form of recognition in the area of governmental accounting and financial reporting. To achieve the award, the OFM must prepare a comprehensive annual financial report that meets the GFOA’s high standards, which include demonstrating a spirit of transparency and full disclosure. This is the 22nd consecutive year that the OFM has received the award.

    The OFM resides within the Office of the State Budget and has responsibility for enterprise-wide accounting and financial reporting. The SOMCAFR is an annual report that provides a comprehensive view of the state’s finances. It is available to the public on the OFM website, www.michigan.gov/ofm. The GFOA is a nonprofit professional organization serving approximately 17,500 government finance professionals with offices in Chicago and Washington, D.C.

     

    HALLOWEEN SAFETY TIPS

    There are many ways to keep your child safe at Halloween, when they are more prone to accidents and injuries. The excitement of children and adults at this time of year sometimes makes them forget to be careful. Simple common sense can do a lot to stop any tragedies from happening.

    • Help your child pick out or make a costume that will be safe. Make it fire proof, the eye holes should be large enough for good peripheral vision.
    • If you set jack-o-lanterns on your porch with candles in them, make sure that they are far enough out of the way so that kids costumes won't accidentally be set on fire.
    • Make sure that if your child is carrying a prop, such as a scythe, butcher knife or a pitchfork, that the tips are smooth and flexible enough to not cause injury if fallen on.
    • Kids always want to help with the pumpkin carving. Small children shouldn't be allowed to use a sharp knife to cut the top or the face. There are many kits available that come with tiny saws that work better then knives and are safer, although you can be cut by them as well. It's best to let the kids clean out the pumpkin and draw a face on it, which you can carve for them.
    • Treating your kids to a spooky Halloween dinner will make them less likely to eat the candy they collect before you have a chance to check it for them.
    • Teaching your kids basic everyday safety such as not getting into cars or talking to strangers, watching both ways before crossing streets and crossing when the lights tell you to, will help make them safer when they are out Trick or Treating.

     

    COFFEE HOURS IN LIVONIA AND GARDEN CITY ANNOUNCED FOR MONDAY, OCTOBER 26TH

    On Monday, October 26th, I will be hosting coffee hours in Livonia and Garden City, and you’re invited to attend:

    9:00 a.m. to 10:00 a.m.
    Livonia Senior Center
    15218 Farmington Road
    Livonia, MI

    10:30 a.m. to 11:30 a.m.
    Maplewood Community Center
    31735 Maplewood Street
    Garden City, MI

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