The Lansing State Journal today cites Mackinac Center research about the lower costs of privatized prisons. In 2007, Fiscal Policy Director Michael LaFaive found that entry-level guards in state-run prisons and at a privatized facility in Baldwin both made about $14 an hour, but those working in government facilities had “far superior benefits,” the State Journal reported.
A recent commentary by James Hohman, assistant fiscal policy director about forcing charter public school teachers into the statewide public school employees’ retirement fund ran in the Dearborn Times-Herald today.
Michigan Capitol Confidential’s coverage of failed electric car battery maker A123 continues to garner media attention.
The Washington Examiner recently reported on a video CapCon discovered that included President Obama and then-Gov. Jennifer Granholm praising the company in 2010 at an announcement about the company opening a plant in Michigan. A123, which received hundreds of millions of dollars in corporate welfare, has laid off several employees and is being sued by stock holders.
Anyone who is particularly surprised by the MEA's decision to file a lawsuit to block implementation of HB 4929 really doesn't understand the character of the union establishment that has developed in this state. The legal details are a little novel; the basic thrust of what the union is doing is anything but. As we've explained before, the MEA in particular has benefitted from a labor law that empowers government unions at the expense of taxpayers. Meaningful reform means limiting or reducing their power. One can expect government unions to fight back aggressively against any attempt to rein them in, and as I said months ago, no limit on union power is modest or reasonable enough to gain the unions' acceptance.
MichiganVotes.org sends a weekly report to newspapers and TV stations around the state showing how state legislators in their service area voted on the most important or interesting bills of the past week. Y = Yes, N = No, X = Not Voting
The House and Senate are in the midst of a two-week break, so rather than votes, this report instead contains several newly introduced bills of interest.
Paul Kersey, director of labor policy, took part in a panel discussion about right-to-work laws, explaining that the 23 states currently providing such protections for workers are “more attractive” to businesses, according to The Saginaw News.
You can learn more about the right-to-work issue here.
Columnist Tim Skubick doesn’t like term limits, and a recent column suggests he also may not appreciate lawmaker attempts to openly rein in the bloated spending habits of Michigan’s government universities:
Here’s where terms [sic] limits fits in. Years ago university honchos and house budget writers had what’s called a relationship. Sure, they had their disagreements, but an unseemly public back and forth, such as this, would have been worked out in the back room, not center stage.
The Wall Street Journal reports that tightening state budgets and declining state funds are forcing public universities to make choices in funding priorities.
Ohio State University is considering leasing their university-run parking lots and privatizing other assets “including two 18-hole golf courses, a small airport and a power grid.” The University of Kentucky and Portland State University are also instituting plans that would partially transfer dormitory operations to a private company.
On their article on Detroit unions facing challenges in the proposed consent deal, cnbc.com cites the Mackinac Center's Director of Labor Policy, Paul Kersey, in regards to collective bargaining for government employees. The financial stability agreement, being debated by Major Dave Bing and Gov. Rick Snyder, would "nullify recently ratified pay, benefits and pension concessions."
MichiganVotes.org sends a weekly report to newspapers and TV stations around the state showing how state legislators in their service area voted on the most important or interesting bills of the past week. Y = Yes, N = No, X = Not Voting
Senate Bill 291, Final vote on repeal motorcycle operation: Passed 24 to 14 in the Senate
To repeal the mandatory helmet requirement for a motorcycle operator who is age 21 or older, has been riding for at least two years or passes a safety test, and has a personal injury insurance policy providing at least $20,000 in benefits. This vote sends the measure to Gov. Snyder for approval or veto.
Following final votes this week, a bill to repeal Michigan’s motorcycle helmet mandate is on its way to Gov. Rick Snyder’s desk. Legislators who favor the repeal invoked arguments rooted in freedom of choice and individual liberty to support it.
Senate Majority Leader Randy Richardville, R-Monroe, lamented that people who just “want the freedom to choose” were being denied it by the motorcycle helmet law. Sen. Dave Hildenbrand, R-Lowell, says the purpose of the repeal is to “give people choices.”
Michelle Malkin writing at National Review Online today cites the Mackinac Center on how electric car battery maker A123 laid off workers and gave executives large raises after receiving hundreds of millions of dollars in corporate welfare.
Michigan Capital Confidential broke the story in February.
Senior Economist David L. Littmann was a guest on Fox Business News today, discussing the financial future of Detroit. He wrote about the city’s potential bankruptcy earlier this week.
More commentary and analysis about Detroit can be found here.
James Hohman, assistant director of fiscal policy, was a guest on "The Vic McCarty Show" on WMKT AM1290 in Traverse City today, discussing his recent study on how to reform the public school employees' retirement system.
You can read more about public-employee pension reform here and here.
Mackinac Center President Joseph G. Lehman in a Detroit News Op-Ed today outlines why America cannot afford Obamacare.
Mackinac Center Legal Foundation Director Patrick J. Wright predicted the Supreme Court will decide the issue on a 5-4 vote.
Technology enables schools to rethink the way that they deliver instruction to students, and a recent phenomenon that’s catching on is called “flipping the classroom.”
It works by having students receive direct instruction — often via online videos — outside of the classroom, enabling teachers to devote more time to collaboration, project-based learning, developing critical thinking skills and mentoring students individually.
A blog post by Jarrett Skorup yesterday pointing out the dubious nature of a study propping up Pure Michigan tourism subsidies is noted in Crain’s Detroit Business.
Crain’s also cited taxpayer money being given to Michigan International Speedway, which hosts NASCAR races. Michigan Capitol Confidential addressed this issue almost six months ago.
Senior Economist David Littmann writes in today's CapCon:
If the unions get the signatures but state voters reject their position in November, then emergency manager work will proceed. However, if the unions win, Gov. Snyder will have to decide whether to toss Detroit into federal bankruptcy court.
During a debate in the state House over legislation that would ban the “stealth” unionization of independent contractors who receive subsidy payments, Rep. Vicki Barnett, D-Farmington Hills, reportedly argued that the bill is unnecessary because individuals opposed to unionization can simply seek to decertify the union.
A new study claiming that the Pure Michigan advertising campaign funded by taxpayers returns a sizable investment for the state is dubious for several reasons.
The projections are based on an online survey from Longwoods International, a travel consulting firm that found that every dollar spent by the state returns $4.90 in tax revenue. This is actually up from their previous 2010 study that found that each dollar returns $2.23.
Paul Kersey, director of labor policy, was a guest recently on "The Lynn Rivers Show" on WEMU Public Radio, where he discussed several right-to-work issues, including a proposed union-backed ballot initiative that he has described as "self-centered and reckless."
Senior Economist David Littmann told The Detroit News that recent mild weather could have both positive and negative impacts on the economy.
People could “get a whole lot more confident” as spending increases at places such as golf courses and home improvement stores.
Perhaps I’ve been toiling too long in the public policy salt mines, but my take on "The Hunger Games" is that it’s less an adolescent dystopian adventure/love story than an allegory of government rules run amuck.
I may be trying too hard to squeeze a square peg into a round hole, but bear with me:
MichiganVotes.org sends a weekly report to newspapers and TV stations around the state showing how state legislators in their service area voted on the most important or interesting bills of the past week. Y = Yes, N = No, X = Not Voting
Senate Bill 1018, Ban unionization of contractors paid with government subsidies: Passed 25 to 13 in the Senate
To establish that a person whose private employment compensation comes from a direct or indirect government subsidy is not considered a government employee, and so is not subject to being inducted into a government employee union. Such a scheme involving home day care providers was ended by the Snyder administration subsequent to a Mackinac Center legal challenge, and the bill would (eventually) end a still-ongoing one extracting SEIU union dues from home health care providers who are mostly relatives of disabled individuals.
Patrick J. Wright, director of the Mackinac Center Legal Foundation, was a guest on "The Frank Beckmann Show" on WJR AM760 this morning, discussing passage of Senate Bill 1018, which clearly defines home health aides as private individuals, rather than public employees, thereby saving them from being forced into a government union.