E-Newsletter, April 17, 2009

HUNTER COSPONSORS BILL TO PROHIBIT INSURANCE COMPANIES FROM HAVING AUTO REPAIR INTERESTS

Earlier this month, Senate Bill 440 was introduced. The bill, cosponsored by Senator Hunter, amends the Insurance Code to prohibit an insurance company from owning an auto repair facility. The company must inform its clients that they are free to go to any repair facility of their choosing. Consumers will be protected from being steered to auto repair shops that have established relationships with insurance companies, rather than to those that may provide the best service and price.

 

HUNTER BILL GIVES TAX CREDITS FOR HEARING AID PURCHASES

Senator Hunter has introduced legislation giving tax credits for the purchase of hearing aids. Senate Bill 403 would allow the credit for the taxpayer who buys a hearing aid, the taxpayer who buys a hearing aid for his or her spouse, and the taxpayer who buys a hearing aid for his or her dependent. The tax credit would be equal to the amount of the hearing aid. The credit would become a refund if the amount of the credit for the purchase exceeds the tax liability for the taxpayer in that tax year. The portion of the tax credit that exceeds the tax liability would be refunded to the taxpayer.

 

HUNTER CALLS FOR TRANSPARENCY, ACCOUNTABILITY FOR MICHIGAN CATASTROPHIC CLAIM ASSOCIATION

In reaction to the Michigan Catastrophic Claim Association’s (MCCA) recent decision to impose a 20% increase on the catastrophic claim fee paid by Michigan drivers, Senator Hunter has joined with his colleagues to call on the Senate to consider legislation that would reform the MCCA. This is a significant increase that comes at a difficult time for the many Michigan workers who depend on their ability to drive to and from work each day. Given the lack of transparency and accountability under the current law regulating the MCCA, it’s difficult to judge whether this increase is justified or not.

Senator Hunter is a cosponsor of Senate Bill 161, which was introduced earlier this year. The legislation would reform the Michigan Catastrophic Claims Association in the following ways:

• End the practice of meeting behind closed doors without requirement to make proceedings open to the public by making the proceedings of the group subject to the Freedom of Information Act and creating a transparent process.
• End the insurance companies’ monopoly on the decision making body by expanding the group from five to six voting members. The new member would act as a representative and advocate for the general public.
• Make the Michigan Insurance Commissioner a full voting member.
• Establish additional oversight by requiring an annual independent audit of the association and the results of that audit to be reported to the Michigan State House and Michigan State Senate.
• Accountability would be restored by making decisions to raise rates subject to the approval of the Commissioner of the Office of Financial and Insurance Regulation and allowing for the rejection of increases deemed to be excessive.

 

SENATE DEMS FIGHT FOR WORKERS, FAMILIES AS STATE BUDGETS BEGIN TO MOVE IN THE SENATE

In early April, Senate Democrats fought for crucial jobs training, worker safety programs, and resources for unemployed families as the budget for the Department of Energy, Labor and Economic Growth (Senate Bill 243) was up for consideration on the Senate floor. Democrats also fought the creation of spending on a new program created by Republicans when plummeting revenues will require additional budget reductions.

Senate Democrats fought for a number of priorities, including:

• *Restoring funding for the No Worker Left Behind Program to offer training assistance to workers training for a new job. The governor recommended funding the program at $15 million and Senate Republicans cut that funding to $6.6 million.
• Increasing the amount of dependent benefits offered to unemployed workers from $6.00 per dependent to $20.00.
• Restoring workplace safety provisions by removing the prohibition on ergonomic guidelines.
• Helping citizens with the high cost of auto insurance by prohibiting the use of credit scores to determine auto insurance rates.
• And eliminating $500,000 in spending for a new program created by Senate Republicans.

 

GOVERNOR SIGNS ADVANCED BATTERY LEGISLATION, ANNOUNCES INVESTMENT INCENTIVES

Governor Jennifer Granholm signed legislation into law last week which will help make Michigan the leader in advanced battery development and manufacturing. The new law will allow Michigan to capture more federal funding for advanced battery development grants. The law will add another $220 million in refundable tax credits for the companies working on these batteries which will be used to power the next generation of green battery powered cars. This will expand on the $335 million in tax credits that the governor singed into law in January. The federal funding comes from a $2 billion grant program established by Congress.

The new law also increases from $70 million to $90 million the maximum amount of tax credits for companies involved in engineering the vehicles that will use these batteries. It will also allow the Michigan Economic Growth Authority to approve up to $300 million of the $555 million in incentives for the construction of facilities to manufacture these batteries.

This week, the governor announced that Michigan's aggressive effort to grow the advanced-battery industry and the jobs it will create has already resulted in four companies announcing plans to invest more than $1.7 billion to launch advanced-battery manufacturing facilities in Michigan. The projects that will create 6,683 new jobs in Michigan were awarded state refundable tax credits that will help the companies in their quest for some of the $2 billion in federal grants for advanced-battery research and development.

The four projects announced this week are: Johnson Controls-Saft Advanced Power Solutions LLC, LG Chem-Compact Power Inc., KD Advanced Battery Group LLC, and A123Systems Inc. The companies have come from all over the world to locater here in Michigan, and are still in the process of determining where they will be locating their new facilities.

 

FORECLOSURE HELP AVAILABLE FOR DETROIT AREA RESIDENTS

The Joy-Southfield Community Development Corporation offers Free Foreclosure Prevention Assistance. Call 313-841-9641 to make an appointment with a specially trained foreclosure assistance counselor. Counseling is available at several locations in Detroit. Additional information and application packets are available at Joy-Southfield Health and Education Center located at 18917 Joy Rd, Detroit 48288.

 

ECONOMIC INCENTIVES ANNOUNCED FOR EXPANSION OF DETROIT COMPANY

This week, the Michigan Economic Growth Authority approved a state tax incentive valued at $2 million over 10 years to help encourage Urban Science Applications Inc. to expand in Detroit over competing sites in Alabama, North Carolina, New Jersey, and California. The company, which provides state-of-the-art business analysis serving clients' retail networks, retail outlets, and marketing abilities, plans to invest $29.2 million to expand its operations in Detroit. The project is expected to create 146 news jobs, including 69 directly by the company. An economic analysis conducted by the Michigan Economic Development Corporation (MEDC) estimates the expansion will generate 77 indirect jobs. The city of Detroit is also considering offering financial incentives to support the project. In addition, the MEDC has approved up to $138,000 in economic development job training funds.

 

DETROIT TO GET ECONOMIC BOOST FROM FEDERAL TRANSPORTATION ENHANCEMENT FUNDING

The Detroit Department of Transportation (DDOT) will be receiving $528,718 in federal Transportation Enhancement funds to install bike racks on all buses in service. Adding the bike racks will allow DDOT to accommodate current riders and attract new customers who want to both bike and ride the bus to their destination.

The city of Detroit will be receiving American Recovery and Reinvestment Act (Recovery Act) funds for streetscape projects on Monroe and Brush Streets in Greektown and along Woodward Avenue. Streetscape elements include decorative and scored sidewalks, trees with decorative grates, new streetlights and historic lighting, benches, bike racks, and trash receptacles. These improvements will complement the current investments that are part of the Greektown Casino development. The project will also create a distinctive, pedestrian-oriented district in the New Center area that will enhance the safety and appeal of Woodward Avenue for pedestrians and serve as a catalyst for commercial revitalization and tourism development.

The city of Detroit, in cooperation with the University Cultural Center Association and the Community Foundation for Southeast Michigan, is also receiving Recovery Act money to construct a pedestrian/bike path in the University Cultural Center area. This is the first phase of a four-phase project known as the Midtown Detroit Greenway Loop to connect Wayne State University and the Detroit Medical Center campuses to surrounding areas.

 

SENATE DEMOCRATS SUPPORT $1.9 BILLION TO CREATE JOBS, BOOST ECONOMY

Michigan Senate Democrats recently voted to pass a plan that will invest $1.9 billion in Michigan to create jobs, provide job training programs to displaced workers, make improvements to schools, fund community assistance programs, and support other much-needed state and community services. The funding, which is provided by the American Recovery and Reinvestment Act (ARRA), will boost Michigan's economy by directing federal resources to shovel-ready projects in order to create thousands of jobs, and by supporting critical services for citizens in need.

The plan includes: $236 million to support energy efficiency programs, unemployment and employment services, and workforce training programs; $900 million for handicapped preschool initiative grants, special education, assisting at-risk children and school improvements; $435 million for weatherization programs, food assistance and other community assistance; and $46.7 million to support the crime victims fund, crime prevention programs and senior assistance.

 

SENATOR HUNTER ARGUES AGAINST SENATE REPUBLICAN CHANGES TO FORECLOSURE BILLS

Senator Hunter recently voted against three House sponsored foreclosure bills in committee after Senate Republicans changed the bills so that they gave far less help to stressed homeowners. As they were first introduced in the State House of Representatives, House Bills 4453, 4454, and 4455 said that if a lender refused to modify a loan for a qualified borrower, then the foreclosure proceeding would be converted to a judicial proceeding. Senate Republicans, however, changed the bills when they were considered in the Senate Committee on Banking and Financial Institutions and stripped this judicial foreclosure provision. Senate Democrats offered a number of amendments in committee and again when the bills were debated during Senate session, Senator Hunter sponsored an amendment to restore the provision to convert a foreclosure to a judicial proceeding when a lender refuses to work with a qualified borrower. But his amendment, as well as the other Democratic-sponsored amendments
, were defeated by the majority Republicans.

The judicial foreclosure provision would have required lenders to work with a borrower who qualifies for loan modification under the FDIC workout program. It would have targeted those homeowners who could afford to stay in their homes if their mortgage was modified. Not every home can always be saved from foreclosure but these bills, as they were introduced in the House, would have saved many homes which in turn would benefit communities across the state. The bills now go back to the House of Representatives.

 

SENATE DEMS FIGHT FOR INCENTIVES TO HIRE MICHIGAN WORKERS FIRST

Senate Democrats recently fought to pass a package of bills called ‘Hire Michigan First’ that would reward companies that employ Michigan workers with state economic development incentives. With federal stimulus funds being used to create jobs, Democrats believe that Michigan workers should get first choice of those new jobs.

The ‘Hire Michigan First’ legislation was passed by the House of Representatives in early March and headed to the Republican-led Senate where the bills have not been addressed. Senate Democrats moved to force a vote on the legislation during session this week, but Senate Republicans defeated that action. Senate Democrats will continue fighting for this important legislation that can help put Michigan citizens back to work.

Some recent examples of out-of-state workers being used on Michigan jobs highlight the need to move this legislation quickly. When the Mackinac Bridge needed to be repainted, two different companies that were hired to do the job brought in out-of-state labor. A Colorado-based company received $2.2 million in state incentives to work on a major expansion project in Battle Creek only to bring in their own workers instead of hiring locally. And in Marysville, area workers were appalled when the construction of a new ethanol plant went to a company that shipped in workers from Texas to fill local jobs, despite receiving state tax incentives for the project.

‘Hire Michigan First’ has seen a great deal of support from the online community in the form of groups, causes and petitions. The Senate Democrats’ Facebook Cause ‘Hire Michigan First’ was created in the beginning of March and membership has already grown to more than 800 people. To visit the Facebook Cause, click on this link: http://apps.facebook.com/causes/235147.

 

DEPARTMENT OF TRANSPORTATION SPENDS FEDERAL STIMULUS DOLLARS TO FIX WAYNE COUNTY ROADS

The Michigan Department of Transportation has announced road projects across Michigan that are ready to go and will receive federal funding from the American Recovery and Reinvestment Act to put people back to work fixing our roads and bridges. Funding is determined by a formula used for the distribution of all federal funds. To meet the criteria, Michigan transportation projects must be ready to go within 120 days, be eligible for federal aid, and be approved through the federal aid process. Distribution within the state is determined by population, where the dollars will have the most impact in creating jobs, and where the greatest need for infrastructure improvements exists.

A number of those projects are located in the Detroit area and surrounding communities. In the 5th Senate District, $4 million will go towards resurfacing M-39 between McNichols and M-153. Other projects include: $22 million for deck replacement on a total of 11 bridges over I-96; 13 million for M-8 resurfacing from Oakland to Conant; $4.3 million for deck replacement on Joseph Campau and Goddard over M-8; and $1.7 million for the installation of an active speed system on I-94 eastbound and westbound at I-96.

The goal of these projects is to stimulate economic activity statewide, and to create as many jobs as possible. If projects are completed within a set frame of time, the state will be eligible for an additional $120 million in funding, which combined with the initial investments will create an estimated 25,000 jobs.

 

REMEMBER TO VOTE MAY 5

Remember to cast your ballot in the Tuesday, May 5 local election if your area is holding one. To find out if there is an election in your community, visit the Secretary of State website at www.Michigan.gov/sos or check with your county clerk’s office. The Michigan Voter Information Center is another helpful resource. It helps you determine whether you’re registered to vote and it will direct you to your polling location. The website is www.Michigan.gov/vote.

Voters who need to have their absentee ballot mailed to them must apply no later than 2 p.m. on Saturday, May 2. Absentee ballots can be obtained in person anytime through 4 p.m. on Monday, May 4.

Please remember that Michigan has a voter identification requirement. You will be asked to present photo ID at the polls, such as a Michigan driver’s license or identification card. If you do not have an acceptable form of photo ID or didn’t bring it with you, you can still vote. You will just need to sign a brief affidavit stating that you’re not in possession of a photo ID. Your ballot will be included with all others and counted on Election Day.

 

DOING BUSINESS WITH THE STATE OF MICHIGAN

As part of the Buy Michigan First initiative, the Michigan Department of Management and Budget (DMB) offers free seminars to guide business owners in bidding on and obtaining contracts with the state. These seminars provide business owners an overview of the Michigan procurement process for commodities, services, information technology, design and construction, and real estate leasing. The department also offers a second seminar to prepare businesses to create a quality proposal.

This program encourages businesses, including under-represented businesses, to register as vendors and bid on more than 1,200 contracts valued at over $19 billion. The purpose of Buy Michigan First is to increase awareness on how to do business with the state, increase the number of Michigan businesses registering as vendors and bidding on contracts, and to increase the awareness of resources available to small businesses. The end goal is to create jobs, diversify our economy, and drive down the cost of government.

Some seminars are held in partnership with the Procurement Technical Assistance Centers (PTACs). PTACs are not-for-profit organizations funded by the Defense Logistics Agency, the Michigan Economic Development Corporation and local funding partners. The mission of the PTACs of Michigan is to enhance the national defense and economic development of the state by assisting Michigan businesses in obtaining federal, state and local government contracts.

There are two types of seminars to prepare a business owner to become a vendor including: “Contracting 101,” which provides general information to guide business owners in bidding and obtaining contracts with the state. The other seminar offered is “Elements of a Quality Proposal,” which is best for those who have already participated in a “Contracting 101” session. It provides a more detailed presentation to help a prospective vendor understand purchasing language and understand the things that should be in a quality proposal. Information is also provided on common mistakes that vendors make when they submit bids to the State.

To learn more about Buy Michigan First, including the most up-to-date schedule of seminars, please go to http://www.michigan.gov/BuyMichiganFirst.

 

“TALK TIME WITH TUPAC” COFFEE HOUR TIMES & LOCATIONS

Detroit Coffee Hour: Every First Friday, 10 - 11 a.m.
Mary's Grill, 20804 Plymouth Road

Dearborn Heights Coffee Hour: Every Third Friday, 10 - 11 a.m.
McDonald’s, 6412 North Telegraph Road

Inkster Coffee Hour: Every Second Friday, 10 - 11 a.m.
McDonald’s, 27125 Cherry Hill Road

You are invited to attend whichever coffee hours work best for your schedule. If you are interested in joining me, please call my office toll-free at 1-866-262-7305 in order to confirm your attendance. Please be sure to leave a message if you call after hours.