When it comes to choosing a school in Detroit, families are faced with a wide variety of school applications. Making it more difficult for parents, these applications require different information and are due at different times. To make it easier for families, some are advocating for a "common enrollment" system. With common enrollment, families would fill out a single application to apply at any school in Detroit.
The Mackinac Center Legal Foundation filed an amicus brief in the case of Friedrichs v California Teachers Association, a case recently taken up by the Supreme Court. Their decision could extend the right to work to all public sector employees in the country.
The state House of Representatives recently cut funding for the Michigan Economic Development Corporation with the goal of freeing up money for roads. This reprioritization of spending is prudent, but it faces opposition in the state Senate.
A good deal of empirical evidence supports the case that government economic development policies — otherwise known as corporate welfare — are ineffective at achieving their goals of faster economic growth, increased employment and greater diversification.
Bringing Financial Transparency to Michigan's Public Sector Unions, a recent study published by the Mackinac Center, explains how holding public sector unions to the same standards as their private sector counterparts could result in less corruption and transparency for members and the general public. The study outlines several examples of private sector union corruption exposed by disclosure laws and offers a way to implement the same laws for public unions.
House Bill 4226, Expand technology business subsidies: Passed 33 to 4 in the Senate
To increase from three to nine the number of areas in which “certified technology parks” (previously dubbed "smart zones") are allowed to expand by creating a "satellite" zone. These entities use “tax increment financing” schemes to provide infrastructure or other subsidies to technology-based businesses.
For the past several years, the Mackinac Center has written about policies written into school contracts that allow teachers to work for the union full- or part-time, despite being paid with public funds. Research conducted in 2011 showed that release time cost tax payers over $2.7 million.
A recent ruling by the California Labor Commissioner’s Office could change the way that popular ride-sharing services such as Uber operate. The Seattle Times noted the decision that classified one of Uber’s drivers as an employee “may turn out to be an even bigger roadblock to the company’s business than regulatory changes because it could change Uber’s cost structure, requiring it to offer health insurance and other benefits, as well as paying salaries.”
Almost everyone has a plan for fixing what ails Detroit Public Schools: the governor, a coalition of special interest groups, and several advocacy groups. While each group differs in its approach — the governor's proposal would split the district in two, while the coalition's plan would limit school choice — every plan would require creating a new law specifically for DPS and Detroit-area charter schools.
MIRS Capitol Capsule (subscription required) reports on the debate between a Mackinac Center policy analyst and the Oakland County sheriff over the issue of civil asset forfeiture.
The 14th District Republican Executive Committee recently overwhelming voted to support a resolution that would effectively end Michigan's civil asset forfeiture laws. The decision came after hearing testimony from Oakland County Sheriff Michael BOUCHARD, who spoke in favor of the notion of civil asset forfeiture and the Mackinac Center's Jarrett SKORUP, who spoke against the idea.
Detroit Public Schools has been in financial trouble for a long time, and ensuring that DPS can pay its bills is likely to require further state funding. As plans for fixing DPS are debated, school officials throughout Michigan have begun to worry that their state funding will be reduced when a bailout for DPS is finalized.
The Michigan Senate is considering a bill that would prevent taxpayer-funded union “release time” in most settings. There is a real-world cost to this practice, which allows union stewards to spend time working for a private entity when they are supposed to be working for the public.
On Thursday, June 25th, the Mackinac Center will hold the Arthur N. Rupe Foundation Debate on the topic of Money in Politics. The debate will address the competing claims of disclosure and privacy/free speech in politics today. Registration for the event guarantees refreshments and seating, and closes on June 22.
Things aren’t looking good for individual privacy – at least for those who wish to participate in public policy debates. Despite the First Amendment’s strong defense of free expression, speech is increasingly regulated – especially political and policy dialogue. For an increasing number of nonprofit organizations, disclosing contributors’ identities is the price paid to be allowed to advocate in the public square. Some fight back against these regulations, arguing in the name of free speech and individual privacy that promoting public policy should not be regulated in the same way as funding a political candidate. A timely example is playing out in the courts right now.
By Jack McHugh
House Bill 4122, Repeal state film producer subsidies: Passed 24 to 13 in the Senate
To repeal the program that gives Michigan tax dollars to film producers. Since 2008 some $500 million has been distributed to producers. This week's votes send the bill to the Governor for approval or veto.
Watchdog.org took a look back at the hundreds of millions of dollars approved for the battery maker, A123 Systems. The Mackinac Center and Michigan Capitol Confidential covered the deals between the state and company for years, before the entity went bankrupt.
The Mackinac Center recently released the results of a poll conducted by Mitchell Research & Communications, Inc. showing two-thirds of respondents preferred putting money currently spent on corporate subsidies through MEDC toward roads.
The poll was featured in a June 17 article at the Daily Caller, which also referenced an earlier poll commissioned by the Mackinac Center indicating strong voter support for the end of the state's film subsidy program in favor of road funding.
A bill now pending before the Michigan Senate would prevent former school employees like Michigan Education Association union president Steve Cook and others from continuing to accrue benefits in Michigan’s school employee pension system. Yet a Senate Fiscal Agency summary of Senate Bill 279 claims the change would not save any taxpayer dollars. This is incorrect, because the analysis ignores the risks of underfunding pensions and the “benefit spiking” costs associated with this scheme.
A new article on the Heritage Foundation’s “Daily Signal” website highlights the problem with civil asset forfeiture, which is the subject of several bills currently being considered in the Michigan Legislature. The piece, “9 Times the Government Stole Americans’ Cars, Cash” features a case study that originated in Detroit:
Earlier this year, Michigan Capitol Confidential broke the story of MEA President Steve Cook spiking his public school employee pension. He will be able to collect over $100,000 a year from the underfunded system when he retires, despite working only part time as a paraprofessional in the Lansing School District over twenty years ago.
Should taxpayers be forced to pay for union leaders working on union business? Or should education dollars go to education?
Senate Bill 280, sponsored by Sen. Marty Knollenberg, R-Troy, recently passed out of committee and will go to the full Senate. As noted by MichiganVotes.org, the bill would “ban government employee union contracts that pay employees who are union officials for time they spend on the job conducting union business (which they call ‘release time’). Among other government employers, many public school districts give local union officials full teacher salary and benefits but do not require them to teach or perform any other educational function.”
A Senate panel has voted to eliminate Michigan’s film incentive program from the state budget beginning next year. The bill will move on to the full Senate.
Senate Majority Leader Arlan Meekhof, R-West Olive, told the Detroit Free Press that roads are a higher priority for the state.
Some lawmakers are considering state-based health exchanges (SBE) as “insurance protection.” An upcoming U.S. Supreme Court ruling in King vs. Burwell could strike down the ACA insurance subsidies in states that have not established a state exchange (including Michigan). State lawmakers should be cautious as this “solution” has a well-established track record of costly failure.
By Jack McHugh
House Bill 4605, House GOP road package: Passed 62 to 47 in the House
To earmark a portion of state income tax revenue to road funding, starting with $192 million in 2016 and increasing to $717 million in 2019.
According to the House Fiscal Agency, this and other bills in the House package would generate an additional $1.163 billion in annual road repair funding by 2019 with just modest tax increases (see House Bill 4615 below). Given projected increases in income tax revenue over that period, with the road funding package the amount of general fund dollars available for other (non-road) spending would increase by $355 million in 2019, versus an increase of $1.137 billion without the package.
Imagine a couple new startups begin offering a brand new service in Michigan. These companies innovatively use new technologies to meet consumers’ needs in real-time and transform ordinary workers into entrepreneurs. Pretty soon, however, some raise concerns about customer safety regarding this new service. Now imagine the Michigan Legislature quickly jumps into action (a stretch, I know) and proposes new regulations aimed at protecting consumers.
A new report from the Citizens Alliance on Prisons and Public Spending lays out some quality reforms that would help pare down Michigan’s vast criminal system. Many of the ideas would save taxpayer money and are commonsense reforms that will not endanger the public. In total, the report estimates that Michigan could reduce its prison population by around 10,000 and save $250 million annually.
