Questions continue to arise over the Hangar42 movie studio deal, including this breaking news from reporter Chris Knape at The Grand Rapids Press that outlines the involvement of a state representative's office in obtaining a tax subsidy for the project.
There has been little discussion about the proposed Michigan service tax, but there is reason to believe that Lansing may try to push one yet this year. Legislators passed a 6 percent tax on a number of services without much public input in 2007 when the state's budget deadline lapsed. Public pressure afterward caused them to repeal the tax and replace it with the Michigan Business Tax surcharge.
The Grand Rapids Press and WOOD-TV are reporting that Michigan Film Office Director Janet Lockwood agreed with Mackinac Center analysts that a proposed movie studio seeking state subsidies is questionable.
Michigan Capitol Confidential broke the story after an e-mail from Lockwood, obtained through the Freedom of Information Act, quoted her saying "So disappointing, it looked so promising. But it's not. This time I am agreeing with the Mac Center." Lockwood was referring to Hangar42, about which issues were raised after a months-long Mackinac Center investigation.
Political posturing is replacing science in decision making regarding natural resources and the environment. The latest example of political posturing on environmental issues is a plan hatched by House Democrats that would ban drilling in the Great Lakes via a series of bills that, if passed by the Legislature, would place on the November ballot a constitutional ban on directional drilling under the Great Lakes. Never mind that Michigan law already does not allow drilling in the Great Lakes, nor does federal law. It is obvious that the reason some are pushing a constitutional ban for something that is already against the law is to score political points by preying on emotion and fear regarding the Gulf oil spill.
Wayne County Prosecutor Kym Worthy's push to put parents in jail for missing parent-teacher conferences is "unprecedented," Senior Communications Director Michael Jahr told The Detroit News.
"Parental involvement in education is desirable, but there's hardly any benefit from government coercion," Jahr said. "Are kids going to be better off if they have a parent in jail?"
The Michigan House recently passed House Bills 5211 and 5212 which mandate that local government officials consider public transportation agencies and systems in their local land use planning process. The proposed legislation defines a public transportation agency as a governmental entity that operates or is authorized to operate intercity or local commuter passenger rail service in the state or a public transit authority created under existing state law.
John Miller at National Review Online writes about the "Overton Window of Political Possibility" and how Glenn Beck has adapted the name for his new book.
Mackinac Center President Joseph G. Lehman recently discussed the Overton Window on Beck's radio program. You can watch and or listen here.
It's hard to find a reputable, independent economist willing to argue that transferring millions of tax dollars from households and businesses to filmmakers is a rational, plausible economic development strategy. Most scratch their heads at a program that pays 42 percent of the expense of producers who make a movie here and 25 percent to developers who install a film production facility.
Calls to rearrange Michigan's institutional deck chairs are a sign of frustration with failed policies, a political class seemingly incapable of changing them, and the excessive reform-killing influence of politically powerful public employee unions. Joining proposals for a part-time legislature, unicameral legislature, biannual budgeting, "fair tax" and other reform stalwarts is the latest political fad: a runoff election, or "jungle primary" system.
LIFO stands for "last in, first out" and describes how nearly all Michigan school districts choose which teachers to lay off when downsizing becomes a necessity. The Michigan Education Association union bargains for LIFO in school employee contracts, yet ironically, it profiled a Jackson teacher who fell victim to the practice in the latest edition of its monthly magazine, the "MEA Voice."
Every week, MichiganVotes.org sends a report to newspapers and TV stations showing how just the state legislators in each publication's service area voted on the most important and interesting bills and amendments of the past seven days. The version shown here instead contains a link to the complete roll call tally in either the House or Senate. To find out who your state senator is and how to contact him or her go here; for state representatives go here.
A rather blistering May 16 Livingston Daily editorial asked a few simple questions of three state lawmakers about the Michigan Film Incentive and how well it's working. Two of the legislators responded in a guest column Sunday, arguably dodging the real questions raised in the original editorial and putting up a weak defense of the two-year-old subsidy program.
Mackinac Center President Joseph G. Lehman appeared on Glenn Beck's radio show today to discuss the Overton Window of Political Possibility, according to the Midland Daily News.
The Overton Window, created in the mid-1990s by the Center's late vice president, Joseph Overton, explains how policy changes over time. You can learn more about it here.
Congress has an opportunity to restore accountability to elected officials and put limits on the power wielded by unaccountable bureaucrats when the U.S. Senate considers Joint Resolution 26 tomorrow.
The resolution, sponsored by Sen. Lisa Murkowski, R-Alaska, would negate a current rule that EPA is finalizing that would regulate greenhouse gas under section 202(a) of the Clean Air Act. EPA's attempt to regulate greenhouse gas as a pollutant has huge negative economic implications especially for manufacturing states like Michigan. The proposed EPA rulemaking would likely for the first time require clean air permits for thousands of commercial sources in Michigan, such as shopping malls and bakeries, thereby driving up their costs.
Grand Rapids Press reporter Chris Knape has done excellent reporting on a potential $10 million taxpayer subsidy for the investors in the "Hangar42" film studio project that Gov. Jennifer Granholm has boasted of, and in a June 6 editorial the paper captured the essence of what concerns people about it. As reported by the Mackinac Center, the 25 percent "capital investment" subsidy is based on a $40 million purchase price for the property claimed by the deal's promoter, yet the same building was listed for sale at just $9.8 million in February.
The definition of progress seems to be moving backward in this state. It used to be that structures erected on property were called "improvements." Yet last week, the Michigan Senate passed a package of bills authorizing property tax breaks for "urban agriculture" in Detroit. One Republican legislator made the following boast on the Senate floor:
A Detroit News editorial today calls for more transparency from the Michigan Film Office in the wake of a months-long investigation by Mackinac Center analysts that raised several questions about a Grand Rapids-area movie studio deal.
Michigan Capitol Confidential has a story today about proposed legislation that would force the film office to be more transparent.
By Jack McHugh
Huron Valley Schools Superintendent Robert O'Brien earned $418,965 in his final year, according to the MIRS News (subscription required) Capitol Capsule.
Michigan Supreme Court Justice Maura Corrigan insisted that information be made part of the court record in O'Brien's lawsuit against the Michigan Public Schools Employee Retirement System.
Chinese officials are considering rules that would make it more difficult for local government to seize property from individuals and turn it over to developers without at least compensating the property owners, according to a report in the May 27, 2010, edition of The New York Times. East Lansing officials may want to pay attention.
A columnist in the Washington Examiner said Michigan Capitol Confidential "is providing a valuable service to news consumers" as "news coverage in the state capital dwindles."
Jason Stverak also wrote that in 44 states there are fewer reporters covering capitol news than six years ago. Stverak also pointed out the dangers of Senate Bill 1323, introduced by Sen. Bruce Patterson, R-Canton. Patterson also introduced Senate Bill 1285, which Russ Harding has referred to as the "Newspaper Death Act."
At a recent town hall meeting New Jersey Gov. Chris Christie threw down the gauntlet at the feet of the teachers unions:
The fight is about who is going to run public education in New Jersey — the parents and the people they elect, or the mindless, faceless union leaders who decide that they are going to be the ones who are going to run it because they have the money and the authority to bully around school boards and local councils.
In a speech on diversifying the state economy at the Mackinac Policy Conference today, Gov. Jennifer Granholm stated that diversification efforts through the Michigan Economic Development Corp. have brought 919 "companies or expansions" to Michigan. She also stated that health care is the state's largest industry. One claim is without context and the other is incorrect.
Every week, MichiganVotes.org sends a report to newspapers and TV stations showing how just the state legislators in each publication's service area voted on the most important and interesting bills and amendments of the past seven days. The version shown here instead contains a link to the complete roll call tally in either the House or Senate. To find out who your state senator is and how to contact him or her go here; for state representatives go here.
(This commentary appeared May 31, 2010, in the Lansing State Journal.)
On May 25, the executive committee of the Michigan Economic Development Corp. publicly cried foul over "unwarranted criticism" of the agency and warned that "political in-fighting" could hurt the state's business investment climate. But the criticism of the state's chief "jobs" department is not only warranted, it's overdue.
Lou Glazer of Michigan Future is a big fan of higher education. For Glazer, "human capital" as measured by the number of college degrees in a state is the key determinant of economic prosperity. But evidence suggests that a single-minded focus on increasing the proportion of a state's population with college degrees is a dead end for improving the state's economy.
