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UNDER THE DOME

Capitol Update, January 1-February 6, 2009

Cynthia Ann Paul

 

SEIU Michigan State Council And Local 1 Filed a Supplemental Brief Amicus Curaie- On preemption issues in the case to retain Detroit's Living Wage Ordinance.

Ergonomic Ban Voted out of Committee and Passes the Senate-The General Industry Safety Standards and the Occupational Health Standards Commissions voted to continue the ergonomic standards through the rule making process after amending it to exclude workers under the federal railway labor act and phasing in its implementation. The Senate passed Senate Bill 93, which amends the Michigan Occupational Safety and Health Act to prohibit the Department from promulgating ergonomic standards. The vote was 20/16. The yes votes include: Allen, Cropsey, Jansen, Patterson, Birkholz, Garcia, Kahn, Richardville, Bishop, George, Kuipers, Sanborn, Brown, Gilbert, McManus, Stamas, Cassis, Hardiman, Pappageorge, and Van Woerkom . The no votes include: Anderson, Cherry, Hunter, Scott,Barcia, Clark-Coleman, Jacobs, Switalski, Basham, Clarke, Olshove, Thomas, Brater, Gleason Prusi, Whitmer. Jelinek was excused.

The Senate Passes MBT Surcharge Repeal-SB 1 implemented a phase-out of the 22 percent surcharge on the Michigan Business Tax. This will place a $161 million hole in the current 2008-09 fiscal year. When fully repealed it would cut state revenues by an estimated $593.4 million in 2010-11. It passed the Senate 25-11.

Wenke BAD Ballot Proposal- Ex Rep. Wenke is proposing a ballot initiative to require government employees and retirees across the state pay 25 percent of the cost of their health care coverage..

Revenue Estimating Conference, January 9, 2009- Carry forward from 07-08 year, totals $712.8 million, $457.9 million left in the general fund, another $2.2 million was left in the budget stabilization fund, the School Aid Fund ended the fiscal year with $254.6 million.

Senate Fiscal Agency said that estimate could mean a general fund deficit of $157 million for the current year and nearly $1.4 billion in 2009-10. The 2009-10 estimate of a shortfall of $1.4 billion assumes that state general fund spending would be as much as $138 million more than the current $9.5 billion. And the estimate does not include any funding from the expected federal stimulus.

Estimates from the National Conference of State Legislatures and other national groups have suggested that if the federal fiscal stimulus does total some $700 billion (which would include individual tax cuts and infrastructure spending as well as direct aid to the states) then Michigan’s total for the budget could approach some $1.6 billion.

In reaching their consensus, the three men said Michigan’s unemployment rate, which they expect to average 8.4 percent in 2008, would hit 10.9 percent in 2009 and 11.2 percent in 2010. They also anticipated the state would lose 193,000 jobs in 2009, with total employment falling to fewer than 4 million people and then falling another 80,000 jobs in 2010. And they anticipated the state’s total personal income to fall by 1.3 percent in 2009 to $349.6 billion, before growing an anemic .8 percent in 2010 to $352.4 billion (which would still be $1.7 billion less than the total in 2008).

Granholm Signs Bill Amending the Michigan Business Tax- It eliminated from the gross receipts definition money that companies collect as sales or other taxes on behalf of the state, i.e., they did not have to pay taxes on this money collected. The change in the MBT applies retroactively to January 1, 2008. It creates a long-term loss in state revenues of at least $125 million a year.

Granholm Signs Bills for a Light Rail in Detroit-A package of bills authorizing a privately-constructed 3.4-mile light rail line in Detroit. The bills allow some $100 million in contributions from philanthropists to be used for building the line along Woodward Avenue, connected sporting and cultural venues. The system’s operating funds would come from government sources.

Granholm Signs Military Spousal Unemployment Bills- It allows spouses of persons serving in the armed forces to receive unemployment benefits when they give up their jobs in order to relocate to where the military member is assigned, HB 6427 (PA 480 of 2008) and HB 6427 (PA 479 of 2008).

Granholm Signs Mortgage Protection Bills- These bills increase the penalties for predatory lending and violations of mortgage regulations, tighten regulation of brokers and appraisers who may not collude to set prices outside normal business practices, expand the role of the Mortgage Industry Advisory Board and prohibit giving secondary mortgages without a license. HB 4054 (PA 531), HB 6148 (PA 528), SB 356 (PA 529), SB 343 (PA 330)

Granholm Signs Battery Legislation-(HB 6641) Under this legislation, the Michigan Economic Growth Authority could provide refundable tax credits of as much as $335 million over five years to companies conducting research, development and manufacture of batteries for hybrid plug-in vehicles as other battery integration and development.

Granholm Signs Cobo Bills- This legislation will pave the way for the expansion of Cobo Center in Detroit, in an effort to improve the facility and maintain the North American International Auto Show there. HB 5691 (PA 553), SB 1630 (PA 554), SB 880 (PA 555) and SB 881 (PA 556). Approximately $280 million in expansion and improvements of the facility would be financed through extension statewide liquor sales and the hotel-motel tax in southeast Michigan.

Kids Count Report Out-Though most children in the state are relatively healthy, the Kids Count report shows that a growing number of children live in poverty and without health insurance. The report, issued annually by the Michigan League for Human Services, shows that poverty is growing despite most children being in homes with two incomes and despite there being fewer children being born in the state. Please see the Michigan League for Human Services webpage for the entire report.

The Council of State Governments Justice Center Released Their Report- It purports that the state could save the state $262 million over the next five fiscal years by reducing the time people stay in prison. But the additional costs that it would impose for efforts to keep people out of prison with measures such as more police and community alternatives were undetermined. The report also said despite Michigan’s reputation as a “tough on crime” state that spends nearly $2 billion a year on corrections, it has actually become easier to get away with committing a crime in Michigan in recent years. CSG’s report, which focused only on policy reform and not on sentencing guideline changes, staffing cuts or other internal issues, provided a three prong approach to lowering the prison population, which included deterring criminal activity; reducing the number of people who return to prison after release, and how long they would stay; and letting most new offenders (but not those with a life sentence) out of prison after they have served 100 percent of their minimum sentence or no more than 120 percent of the minimum sentence. Deterrence would come in the form of increasing the number of police on the streets, making the state crime lab more efficient, funding local law enforcement strategies for crime reduction, as well as funding community based alternatives to prison. The report said the state needed to get more police on the street. While Michigan had the highest violent crime rate (536 crimes per 100,000 people, just ahead of 533 for Illinois), it had the lowest per-capita peace force with 263 officers per 100,000 people. But rather than directly funding more officers, the report recommended demonstration grants for local agencies partnering with prosecutors and community groups. The state also needs to be investing in supports for those officers. While efforts to deter people from prison and step up law enforcement would require investment on the part of the state, a mandate to let prisoners out after they have served their minimum time would save $262 million by 2015 because the state would house about 5,500 fewer prisoners by then.

House Committees-

AGRICULTURE (7 Democrats, 4 Republicans): Simpson (chair), Huckleberry (majority vice chair), Barnett, Haase, Mayes, Nerat, Valentine, Tyler (minority vice chair), Daley, Hansen and Kurtz.

APPROPRIATIONS (19 Democrats, 11 Republicans): Cushingberry (chair), Hammel (majority vice chair), Bauer, Bennett, T. Brown, Dean, Espinoza, Durhal, Gonzales, Gregory, Jackson, Lahti, LeBlanc, McDowell, Miller, Smith, Spade, Switalski, Tlaib, Moss (minority vice chair), Agema, Booher, Caul, Genetski, Green, Haines, Lori, Proos, Rogers and Schuitmaker.

BANKING AND FINANCIAL SERVICES (6 Democrats, 4 Republicans): Coulouris (chair), Scripps (majority vice chair), Clemente, Johnson, Mayes, Nathan, Booher (minority vice chair), Calley, Kowall and Marleau.

COMMERCE (12 Democrats, 7 Republicans): Robert Jones (chair), R. Schmidt (majority vice chair), Byrum, Clemente, Haase, Haugh, Huckleberry, Lemmons, Nathan, Nerat, Sheltrown, Womack, Hansen (majority vice chair), DeShazor, Knollenberg, Meekhof, Meltzer, Opsommer and Walsh.

EDUCATION (14 Democrats, 9 Republicans): Melton (chair), L. Brown (majority vice chair), Bledsoe, Byrum, Corriveau, Geiss, Haase, Kennedy, Lindberg, Nathan, Polidori, Roberts, Sheltrown, Valentine, Pavlov (minority vice chair), Amash, Ball, DeShazor, McMillin, Pearce, P. Scott, Tyler and Walsh.

ENERGY AND TECHNOLOGY (12 Democrats, 7 Republicans): Mayes (chair), Geiss (majority vice chair), L. Brown, Clemente, Lipton, Ebli, Huckleberry, Johnson, Lindberg, Melton, Roberts, Scripps, Horn (majority vice chair), Crawford, Marleau, Opsommer, Proos, Schuitmaker and W. Schmidt.

ETHICS AND ELECTIONS (6 Democrats, 3 Republicans): Angerer (chair), Haase (majority vice chair), L. Brown, Donigan, Scripps, Slavens, Meltzer (minority vice chair), Kurtz and Pearce.

FAMILIES AND CHILDREN’S SERVICES (5 Democrats, 4 Republicans): Valentine (chair), Womack (majority vice chair), Neumann, Slavens, Liss, Pearce (minority vice chair), Kurtz, McMillin and Moore.

GOVERNMENT OPERATIONS (5 Democrats, 3 Republicans): Constan (chair), Liss (majority vice chair), Corriveau, Simpson, Slezak, Walsh (minority vice chair), Daley and McMillin.

GREAT LAKES AND ENVIRONMENT (9 Democrats, 6 Republicans): Warren (chair), Nerat (majority vice chair), Bledsoe, Ebli, Kennedy, Leland, Meadows, Roberts, Scripps, Meekhof (minority vice chair), Daley, Haveman, Rick Jones, Pavlov and W. Schmidt.

HEALTH POLICY (13 Democrats, 8 Republicans): Corriveau (chair), Segal (majority vice chair), Byrum, Coulouris, Donigan, Johnson, Liss, Neumann, R. Schmidt, Simpson, Slavens, Valentine, Womack, Marleau (minority vice chair), Ball, Calley, Crawford, Denby, Green, Moore and P. Scott.

INSURANCE (9 Democrats, 7 Republicans): Byrum (chair), Young (majority vice chair), Lipton, Constan, Lemmons, Neumann, Polidori, Segal, Sheltrown, Denby (minority vice chair), Green, Haveman, Lund, Marleau, Moore and Rocca.

INTERGOVERNMENTAL AND REGIONAL AFFAIRS (7 Democrats, 4 Republicans): Donigan (chair), Barnett (majority vice chair), Bledsoe, Haugh, Robert Jones, Kennedy, Young, Lund (majority vice chair), Denby, Meekhof and W. Schmidt.

JUDICIARY (9 Democrats, 6 Republicans): Meadows (chair), Lipton (minority vice chair), L. Brown, Constan, Corriveau, Coulouris, Kandrevas, B. Scott, Warren, Schuitmaker (minority vice chair), Amash, Haveman, Rick Jones, Kowall and Rocca.

LABOR (6 Democrats, 4 Republicans): Lindberg (chair), Kennedy (majority vice chair), Kandrevas, B. Scott, Slezak, Young, Amash (minority vice chair), Daley, Haveman and McMillin.

MILITARY AND VETERANS AFFAIRS AND HOMELAND SECURITY (5 Democrats, 4 Republicans): Polidori (chair), Roberts (majority vice chair), Byrnes, Liss, R. Schmidt, Rick Jones (minority vice chair), Agema, Amash and Kurtz.

NEW ECONOMY AND QUALITY OF LIFE (7 Democrats, 4 Republicans): Clemente (chair), Stanley (majority vice chair), Byrnes, Geiss, Griffin, Leland, Segal, Knollenberg (minority vice chair), Bolger, Denby and Tyler.

OVERSIGHT AND INVESTIGATIONS (4 Democrats, 2 Republicans): Griffin (chair), Bledsoe (majority vice chair), Angerer, Warren, Bolger (minority vice chair) and Horn.

REGULATORY REFORM (7 Democrats, 4 Republicans): Johnson (chair), Haugh (majority vice chair), Byrnes, Griffin, Melton, B. Scott, Stanley, Rocca (minority vice chair), Crawford, Rick Jones and Stamas.

SENIOR HEALTH, SECURITY AND RETIREMENT (5 Democrats, 4 Republicans): Neumann (chair), Slavens (majority vice chair), Constan, Robert Jones, Lemmons, Ball (minority vice chair), DeShazor, Moore and Tyler.

TAX POLICY (10 Democrats, 7 Republicans): Ebli (chair), Melton (majority vice chair), Barnett, Lipton, Coulouris, Robert Jones, Kandrevas, Mayes, Slezak, Warren, Calley (minority vice chair), Kowall, Lund, Meekhof, Meltzer, Stamas and Walsh.

TOURISM, OUTDOOR RECREATION AND NATURAL RESOURCES (7 Democrats, 4 Republicans): Sheltrown (chair), Slezak (majority vice chair), Ebli, Huckleberry, Lindberg, Simpson, Stanley, Stamas (minority vice chair), Bolger, Hansen and Horn.

TRANSPORTATION (10 Democrats, 7 Republicans): Byrnes (chair), Kandrevas (majority vice chair), Donigan, Geiss, Griffin, Haugh, Leland, Nerat, R. Schmidt, Young, Opsommer (minority vice chair), Bolger, DeShazor, Knollenberg, Pearce, W. Schmidt and P. Scott.

URBAN POLICY (8 Democrats, 3 Republicans): Leland (chair), Nathan (majority vice chair), Barnett, Meadows, Segal, Stanley, Womack, P. Scott (minority vice chair), Hansen, Meltzer and Pavlov.

Appropriations Sub Committees-

AGRICULTURE: Espinoza (chair), McDowell (vice chair), Lori (minority vice chair).

COMMUNITY COLLEGES: Miller (chair), Bauer(vice chair), Booher (minority vice chair).

COMMUNITY HEALTH: McDowell (chair), Jackson (vice chair), Smith, Espinoza, Gregory, Miller, Green (minority vice chair), Lori.

CORRECTIONS: Smith (chair), Durhal (vice chair), Hammel, Lahti, Proos (minority vice chair).

ECONOMIC DEVELOPMENT: Hammel (chair), Switalski (vice chair), LeBlanc, Brown, Bauer, Rogers (minority vice chair), Haines.

ENVIRONMENTAL QUALITY: Bennett (chair), Espinoza (vice chair), Genetski (minority vice chair).

GENERAL GOVERNMENT: Durhal (chair), Lahti (vice chair), Jackson, Rogers (minority vice chair), Lori.

HIGHER EDUCATION: Bauer (chair), Gregory (vice chair), Dean, Smith, McDowell, Tlaib, Gonzales, Caul (minority vice chair), Genetski, Haines.

HISTORY, ARTS & LIBRARIES: Jackson (chair), Gonzales (vice chair), Genetski (minority vice chair).

HUMAN SERVICES: Spade (chair), Smith (vice chair), Tlaib, Gregory, Miller, Agema (minority vice chair), Proos.

INVESTIGATIONS, INTERGOVERNMENTAL AFFAIRS AND OVERSIGHT: Cushingberry (chair), Dean (vice chair), Switalski, Miller, Durhal, Moss (minority vice chair), Booher.

JOINT CAPITAL OUTLAY: Lahti (chair), Dean (vice chair), Bennett, Gonzales, Switalski, Durhal, Bauer, Caul (minority vice chair), Proos, Booher, Haines.

JUDICIARY: Tlaib (chair), Brown (vice chair), Schuitmaker (minority vice chair).

NATURAL RESOURCES: Lahti (chair), Spade (vice chair), Booher (minority vice chair).

SCHOOL AID/EDUCATION: Brown (chair), Hammel (vice chair), Spade, Tlaib, LeBlanc, Haines (minority vice chair), Moss.

SPECIAL GOVERNMENTAL OPERATIONS: Dean (chair), Cushingberry (vice chair), Booher (minority vice chair).

STATE POLICE & MILITARY AND VETERANS AFFAIRS: LeBlanc (chair), Espinoza (vice chair), Genetski (minority vice chair).

SUPPLEMENTALS: Cushingberry (chair), Dean (vice chair), Moss (minority vice chair).

TRANSPORTATION: Gonzales (chair), LeBlanc (vice chair), Bennett, Dean, Jackson, Switalski, Agema (minority vice chair).

Committee on Govt. Efficiency- The final report of the commission is due in June, but it’s expected members will wrap up their work before that. The Senate and House Fiscal agencies are encouraging the committee to include our stat's tax structure to its scope. Below are recommendations from the subcommittees:

K-12 EDUCATION: Expand the sales tax base by an undetermined amount with additional revenues dedicated to the School Aid Fund. Other proposals the workgroup is reviewing: Capping the per-pupil foundation allowance increase to 2.5 percent (assuming the fund grows by that much) and freezing all categoricals in the School Aid budget at 2008-09 levels. The proposal could save $250 million annually starting in the new fiscal year while at the same time allowing policymakers the time to examine whether the $636 million in categorical programs are worthwhile, Putting appropriations for community colleges into the K-12 School Aid budget, saving the general fund approximately $300 million; Offering matching money as an incentive for school employees eligible for retirement to do just that; Offering financial incentives for intermediate school districts to consolidate more non-instructional services; Eliminating the $51.6 million spent on 20j schools and allow those districts to levy higher millages to hold their finances harmless. Allowing the state superintendent of public instruction to consolidate ISDs or school districts if it will save 5 percent or more in operational costs, with all the savings staying at the local level. Require all school employees to be placed on a state-run health care plan, as well as charter schools that offer health care to their employees.

CORRECTIONS: Reducing the prison population through changes to the state’s sentencing guidelines, reforming parole guidelines when it comes to prisoners past their earliest release date and investing in programs that reduce recidivism; Cutting overtime costs to save $50 million by looking at employee classification levels and increasing infirmary beds and changing health care coverage to reduce time spent for hospital coverage of prisoners; decreasing costs for prisoner health care by completing new pharmacy contract, increasing prisoner co-pays and improving technology. Explore privatizing some services such as mental health and transportation. Evaluating revenue options such as reinstating prisoner phone charges. Continuing to consolidate services and look at prison closings.

EFFICIENCIES WITHIN DEPARTMENTS: Recommendations include setting up a “culture of continuous improvement,” instituting better communication and having the Legislature review where it can do less micro-managing. It also has looked at consolidating departments, but putting the legislative fiscal agencies together was the only one mentioned by name in their draft report.

PUBLIC EMPLOYEE BENEFITS: Determining the appropriate level of cost to be born by each level of government for employee health care coverage; Charging newly hired state employees a different rate for their health care coverage. Allowing all public sector employees to purchase coverage off the state’s health plan. Requiring local units of government make their employees pay at least the same percentage state government employees pay on their health insurance in order to receive all of their state funding. Conducting health plan reviews to provide more incentives for healthy behavior.

Prefunding retiree health care benefits through federal stimulus money or bonding.

HIGHER EDUCATION: Eliminating or modifying the Michigan Promise Grant; The workgroup was charged to cut $150 million out of the budget and the grant is the only non-needs based higher education program; Cutting universities across the board or privatizing the University of Michigan were less viable options.

INFORMATION TECHNOLOGY: The panel’s proposals thus far aim at using more technology throughout state government to cut back on staff and paperwork time. The workgroup also suggests consolidating the IT staffs for the judiciary and Legislature into the Department of Information Technology in order to save $3.1 million.

LOCAL GOVERNMENT: Use money to provide incentives for consolidating services, there also should be a constitutional amendment that establishes a level of payment for all local governments, including counties. Then the statutory portion of revenue sharing would follow the services and not the unit of government, Mr. Curran said, adding that locals should be given the option of raising more dollars locally to make up for any loses in state revenue sharing dollars. The workgroup is also proposing creation of a semi-independent agency that would work on intergovernmental cooperation and instituting best practices.

COMMUNITY HEALTH: The workgroup has been looking at ways to shift the focus of health care coverage from curative and reactive to preventative. Some of the suggestions the workgroup are reviewing include: Doing more cost sharing with beneficiaries for non-emergency services. Creating health savings accounts for Medicaid fee-for-service populations. Increasing physician reimbursement to increase their participation in Medicaid, which could be done through a Quality Assurance Assessment Program (QAAP) in order to draw down more federal funds. Linking healthy behavior in patients to more money for the physicians treating them. Putting more restrictive asset tests in place. Saving more on prescription costs Using more health information technology.

PERSONNEL PRACTICES: The top recommendations out of this workgroup has been instituting a five-year workforce supply and demand forecast, the state currently only looks at the supply forecast during budgeting, but with a declining population and revenue, the state also should be looking at the demand side. The workgroup is also looking at conducting any cuts or consolidations in a uniform way, training human resource staff for the task in order to save $21 million over the next five years. Implementing a voluntary early out program for state workers. Adopting a “mutual gains” approach to labor bargaining. Performing a market study of compensation levels for state employees based on education level.

PURCHASING: This workgroup suggestions include modifying the state’s purchasing procedures in order to make them more efficient and clear so vendors aren’t rolling in unneeded costs. The workgroup also wants to use technology to enhance the state’s purchasing methods and leverage local governments using the state system to drive down costs at the start of purchasing negotiations. Using some federal stimulus money to upgrade the state’s computer system. The panel also suggests creating a better information sharing system so that Michigan can communicate with other states to see what they are paying for certain services and products.

School Employee Retirement Proposal- The Michigan Education Association and lawmakers announced a plan to provide an incentive for school employees who are eligible for retirement to retire. The plan would enhance the multiplier retiring school employees receive from 1.5 percent to 2 percent, which translates into $500 or so more dollars per month in retirement income. The number of school employees currently eligible for retirement ranges from 50,000 to 70,000. If 10 percent of that population were to take the retirement incentive it would save school districts $410 million next year and approximately $1.7 billion over the next 10 years. While the time frame (window period) for school employees to decide whether to take the incentive has not yet been ironed out. Schools would save money under the plan by retiring more expensive employees and bringing on younger, lower-paid employees and districts with declining enrollment could also choose to leave some positions vacant.

The Governor's Seventh SOS speech- The economic problems which have been front and center for virtually the entire six years of her tenure will mean more painful cuts in her 2009-10 budget released next week. Restructuring government over the next year, curbing the use of coal-fired power plants over the next 11 years, expanding the use of alternative energy and conservation and holding the line on higher education tuition and auto insurance rates were among the main issues mentioned.

She lead her speech on energy, by the “45 by 20” plan to reduce the state’s use of imported coal and natural gas for power plants by 2020. The permitting of several proposed coal-fired power plants, some of which are also tied up in lawsuits, by the Department of Environmental Quality will be delayed while it and the Public Service Commission review the necessity for those projects as well as “all feasible and prudent alternatives.” Also part of the governor’s energy plan is legislation that would allow homeowners and businesses to sell to utilities power they generate with solar panels or wind turbines and new PSC rate-setting rules to capitalize on the alternative energy production by customers. Customers would also be able to install energy-saving furnaces and make other improvements with no up-front costs, while paying it off with utility bills and through the energy savings. The governor also proposed creation of a Michigan Energy Corps under which unemployed workers would install weatherization on public buildings and homes and install renewable energy technology, with a goal of completing work at 100,000 homes and 1,000 public buildings in the next year. Energy is the state’s single biggest hope for replacing jobs lost in the manufacturing sector, but the governor said other plans are paying off as well.

She announced plans by three companies to build $156 million film production facilities in Michigan, which aides said is a signal of success of last year’s film credits in attracting not just specific projects but permanent facilities. The largest will be at a former General Motors plant in Pontiac where 3,500 jobs are expected to be created by Motown Motion Pictures, with others in Detroit and Northville.

The downsizing of government that Lt. Governor John Cherry is to lead will take place over the next year and will involve citizen input on what services the state should provide. But they also said changes will likely be recommended and put into place getting rid of the Department of History, Arts and Libraries, elimination of state support of the State Fair and Upper Peninsula State Fair. Among the goals are to reduce the number of departments from 18 to eight, reform the civil service system, create more public/private partnerships and take advantage of technology to make state government more of a 24/7 operation. Ms. Granholm also said she will ask the federal Environmental Protection Agency take over regulation of the state’s wetlands program from the Department of Environmental Quality.

She recommended 10 percent pay cut for top elected officials.

Ms. Granholm called for the Legislature to move quickly on legislation giving homeowners additional protections against foreclosures.

Other highlights of the address (though some were not enunciated in Ms. Granholm’s spoken address): The Michigan Economic Development Corporation will sponsor a competition among the state’s universities to develop a new curriculum to encourage entrepreneurial education and development in the state. A Michigan College Access Network will be created using private institutions along with businesses and labor to help ensure students are heading towards college and advanced training. An “Algebra For All” program to help teachers across the state teach the required algebra curriculum. Urging lawmakers to ensure that the state’s health care safety net not be cut for the most vulnerable people in the state. She said the Departments of Community Health, Agriculture, Energy, Labor and Economic Growth, Education, Human Services and Transportation would work together on policies to encourage more physical activity and healthier diets by young people. She also called again for the state to adopt legislation barring smoking in all workplaces.

Personnel Changes:

Former State Rep. Ed Gaffney Named to Liquor Control Commission-The Liquor Control Commission is responsible for overseeing regulations of liquor and alcohol retailers across the state.

Parole Board Appointment-DOC Director Patricia Caruso has appointed former Rep. Paul Condino and former Saginaw County Sheriff Charles Brown to the state’s parole board.

Kelly to Lead Michigan Supreme Court- Ms. Kelly, 70, has been a member of the court since her election in 1996, and was elected in 2004 to an eight-year term which is the last she is allowed under the constitution’s age limitations.

Senator Bruce Patterson thinking about running for AG in 2010.

Granholm names Jeffrey Timmer to replace Lyn Bankes on the Board of State Canvassers and also reappointed James Waters of Detroit as a Democratic member of the board.

H.C.A.M. VP- Beth Bacon is the new vice president of regulatory services for the Health Care Association of Michigan. They represent the for profit nursing homes.

Federal Legislation:

EPA tighter fuel efficient standards-President Barack Obama has ordered fast action on new rules requiring the automotive industry to meet tighter pollution and mileage standards, and to potentially allow individual states to set higher standards than the federal government.

The Lilly Ledbetter Fair Pay Act, which states that the 180-day statute of limitations for pay discrimination resets with each new discriminatory paycheck, was signed into U.S. law on January 29, 2009, by U.S. President Barack Obama. The law was enacted in response to Ledbetter v. Goodyear Tire & Rubber Co., 550 U.S. 618 (2007), a U.S. Supreme Court decision holding that the statute of limitations for filing an equal-pay lawsuit begins at the date the pay was agreed upon, not at the date of the most recent paycheck. This precluded lawsuits by plaintiffs who alleged ongoing pay discrimination but who did not discover it until years after the discrimination began.

SCHIP (Children's Health Insurance Program) Signed into Law-. Known in Michigan as the Healthy Kids and MIChild Programs, the Children's Health Insurance Program helps provide health coverage to over 6.7 million children in America, 900,000 of them in Michigan. The bill expands the program to cover up to 10 million American children. It also makes dental benefits a mandatory part of the program and clarifies that CHIP plans must cover mental health services

President Obama’s unveiled his Task Force on Middle Class Working Families and Vice-President Biden, will chair the task force.

Obama also issued three executive orders on labor issues: 1) requiring federal contractors to offer jobs to their current workers when receiving new contracts; 2) preventing payment to federal contractors for any funds they spend opposing their workers’ attempts to organize; and 3) repealing a Bush administration order requiring federal contractors to post notices telling workers how they can withhold dues payments from the union representing them if they don’t like the union’s politics.

Digital Conversion Delay- Both chambers of Congress have now passed legislation that would delay implementation of digital television S 352. The bill would also allow individuals to request coupons for digital converter boxes until July 31.

The American Recovery and Reinvestment Plan- President Barack Obama’s national stimulus plan. The Senate reached an agreement on the stimulus bill and Officials put the cost of the bill at $827 billion, including Obama's signature tax cut of up to $1,000 for working couples, even if they earn too little to pay income taxes. Also included are breaks for homebuyers and people buying new cars. Much of the new spending would be for victims of the recession, in the form of unemployment compensation, health care and food stamps. $40 billion would be cut from a "fiscal stabilization fund" for state governments' education costs, though $14 billion to boost the maximum for college Pell Grants by $400 to $5,250 would be preserved, as would aid to local school districts for the No Child Left Behind law and special education. A plan to help the unemployed purchase health insurance would be reduced to a 50 percent subsidy instead of two-thirds. A comparison economic recovery plan drafted by Senate Democrats and President Barack Obama with the version passed by the House.
Poor and unemployed

  • Senate - $47 billion to provide extended unemployment benefits through Dec. 31, increased by $25 a week, and provide job training; $16.5 billion to increase food stamp benefits by 12 percent through fiscal 2011 and issue a one-time bonus payment; $3 billion in temporary welfare payments.
  • House - Comparable extension of unemployment insurance; $20 billion to increase food stamp benefits by 14 percent; $2.5 billion in temporary welfare payments; $1 billion for home heating subsidies and $1 billion for community action agencies.

Employee Free Choice Act- Is federal legislation that SEIU is working on very hard to get co-sponsors and passed. SEIU Michigan State Council will be putting a get active letter writing campaign on this vitally important piece of legislation. It includes the following.

  • The Employee Free Choice Act is legislation that will give workers back the freedom to bargain for better benefits, wages, and working conditions.
  • The Employee Free Choice Act will provide much-needed, common sense reform by making what amounts to rather modest changes in the National Labor Relations Act .
  • The Employee Free Choice Act does not eliminate the secret ballot. There are currently two ways that workers can form a union, and that wouldn’t change under this legislation. Workers can form a union through a majority sign up process or they can form a union by an NLRB-sponsored election. Today, however, employers decide HOW workers form their union, regardless of the workers’ preference.
    •     The Employee Free Choice Act lets workers, not companies, decide HOW the union is formed. Let me be clear - - the Employee Free Choice Act does not take away the secret ballot. The section of the Act, which deals with elections, is still in there. The Employee Free Choice Act adds another, separate section which allows workers to form a union through majority sign up. The choice will be up to the workers - - as it should be.
    •     The current system is badly broken. Employers pull out all the stops - - companies harass, intimidate and even fire workers for exercising their freedom to form unions.
    •     Majority sign up is a common and effective procedure already used by workers and employers. Businesses like Kaiser Permanente, AT&T, and Harley Davidson all use majority sign up.


The other provisions of the Employee Free Choice Act:   
     · Increasing penalties against companies that break the law during organizing campaigns. 
    · Provides for first contract arbitration and mediation.