Snyder Says First Budget Will Cover Two Year Period. Governor-elect Rick Snyder told reporters this week that he expects to present a two-year budget in his first budget request to the legislature early next year. Mr. Snyder said that he believes now is the time to implement a new two-year process and will submit requests for the 2011-12 and 2012-13 fiscal years.

Michigan Claims 6% of National Mortgage Foreclosure Activity. Michigan’s mortgage foreclosure activity in October included 19,288 properties, or about six percent of the total foreclosures recorded nationwide for the month. RealtyTrac, the national mortgage clearing house, said that Michigan’s foreclosure level dropped 12 percent from September. Michigan ranked fifth nationally for total number of foreclosures, trailing Nevada, Florida, Arizona and California.

Candidates Emerging to Lead State GOP. At least three candidates are emerging to possibly become the next chair of the Michigan Republican Party. Senate Majority Leader Mike Bishop, Secretary of State Terri Lynn Land and Republican Party Finance Chair Robert Schostak have all expressed interest in replacing current chair Ambassador Ron Weiser when his term expires in 2011.

Liquor Sales Changes Signed into Law. Governor Granholm signed into law Wednesday legislation that allows Sunday morning liquor sales, beverage sampling and a host of other changes to spirits, craft beer and wine marketing and distribution in Michigan. HB 6224 was signed into law after the legislature reached an agreement and passed the compromise bill on November 10.

THE PUBLIC AFFAIRS ASSOCIATES OFFICE WILL BE CLOSED THURSDAY AND FRIDAY TO ALLOW OUR CREW TO CELEBRATE THE THANKSGIVING HOLIDAY WITH THEIR FAMILIES. OUR BEST WISHES TO YOU FOR A GREAT HOLIDAY!

Michigan’s unemployment rate for October stood at 12.8 percent, a decline from the 13 percent in September. It marks the first time the rate was below 13 percent in the past 19 months.

Governor Granholm said that more than 180,000 Michigan residents could lose their unemployment benefits by the end of November if congress does not pass an extension of benefits.

Ms. Granholm said she has written to the congressional leadership, telling them that now is “not the time to pull the rug out from those who need assistance to provide for their families.”

She said the state has more than 336,000 people on unemployment and more than half of them could see their benefits end on December 1 if Congress does not extend the time period for benefits.

The national unemployment rate for October remained at 9.6 percent.

The Michigan Economic Development Corporation awarded grants Wednesday for 13 projects to stimulate economic development and job growth in the state. The awards included seven expansion projects and six brownfield redevelopment proposals.

Governor Granholm said the 10 companies and three cities receiving the incentives will invest $420 million and create 1,395 new jobs because of the awards.

Brownfield projects awards were granted to the Cities of East Lansing, Cheboygan and Port Huron for redevelopment of urban areas.

The other awards included a $45 million credit granted to the Chrysler Group LLC to support development of a new electric vehicle and a $10 million brownfield credit for redevelopment of its Sterling Heights Assembly Plant.

The MEDC awards through its Michigan Economic Growth Authority refundable tax credits against the Michigan Business Tax to companies expanding or relocating their operations in Michigan.

The Senate and House remain on session break this week and through the Thanksgiving Holiday and are still on schedule to return to Lansing for the final week of a short lame duck session on November 30, December 1 and 2.

Still undecided is what the three-day agenda will include and speculation continues on whether funding will be provided for several initiatives.

The travel and tourism industry has put up billboards in the Lansing area calling for action on providing $25 million in funding for the Pure Michigan advertising campaign. Governor Granholm has called on legislators to allocate the $25 million through the appropriations process to allow the national travel promotion campaign to resume this winter and next spring/summer. Legislative leadership has not yet committed to bring the issue up for a vote.

The appropriators likely will consider approving capital outlay spending for building projects at state universities and community colleges. The House and Senate have passed differing versions of the spending plan, which provides for state bonding to match funding secured locally by the institutions.

Detroit Public Schools Emergency Financial Manager Robert Bobb met with legislators last week calling for approval of the use of $400 million in future tobacco settlement money to create a fund to assist struggling school districts.

Mr. Bobb said that the Detroit schools have a deficit of over $300 million and 41 other school districts in the state with lower deficits also could compete for a portion of the tobacco settlement funds.

Since legislation has not yet been introduced for the proposal, the mechanics alone for a three-day workweek will greatly limit the chances of success.

Incoming Senate Majority Leader Randy Richardville (R-Monroe), Senate Minority Leader Gretchen Whitmer (D-East Lansing) and Speaker of the House James “Jase” Bolger (R-Marshall) also are starting to put together their leadership office teams with key staff appointments to run the state legislature next year.

Mr. Richardville named Matt Hanley as his chief of staff, Fred Hall as legal counsel, Matt Marsden as press secretary and Scott Bean as deputy chief of staff.

Messrs. Hanley, Hall and Marsden currently work in similar positions in the office of Senate Majority Leader Mike Bishop and Mr. Bean is in Sen. Richardville’s office.

Minority Leader Whitmer named Mark Burton as her chief of staff.

Speaker Bolger named Suzanne Miller Allen as his chief of staff, a position she currently holds for House Minority Leader Kevin Elsenheimer.

Mr. Snyder said he will use his January 1, 2011, inauguration as a kick-off to a year-long commemoration aimed at changing people’s perception about Michigan and to usher in a new era of innovation.

He said the activities begin in 2011 with celebrating ‘The Power of MI’ themed inaugural activities. Linda Gobler, Michigan Grocers Association President and CEO, and Patricia Mooradian, President of The Henry Ford, will co-chair the inaugural activities.

Governor-elect Rick Snyder continued his preparation for his One Chance era of Michigan’s recovery by continuing to fill out his administration with key appointments.

Mr. Snyder on Monday named Dennis Muchmore as chief of staff, Mike Gadola as legal counsel and Geralyn Lasher as communications director.

Mr. Muchmore is a well-established public policy leader in the state with experience as a legislative staffer, multi-client lobbyist and leader of the state’s leading outdoor and resource management association. Mr. Muchmore worked in the Michigan Senate in the early 1970’s and subsequently served as vice president of the Michigan Chamber of Commerce.

He presently is a member of the Natural Resources Trust Fund Board and previously completed a two-year assignment as executive director of the Michigan United Conservation Club.

In his new position, he will serve in a leadership position to assist Mr. Snyder with developing programs, budgets, and strategies to implement the new governor’s 10-point plan for revitalizing the state.

Mr. Gadola served as legal counsel for former Governor Engler and presently works as counsel for the Michigan Supreme Court.

Ms. Lasher also worked in the Engler administration in a variety of communications positions. She currently works as director of the Infrastructure Services Division at the Department of Community Health.

The recent appointees join previous Snyder appointments Andy Dillon as Michigan Treasurer, Dick Posthumus as Senior Advisor, with responsibilities for legislative affairs and William Rustem as Director of Strategy in forming the Governor’s leadership team.

Mr. Snyder also said that Ann Arbor SPARK President and CEO Michael Finney will serve as a member of the Transition Committee for Economic Development and Central Michigan University Trustee Stephanie Comai will serve on the Transition Committee for State Management Issues.

The Governor-elect is participating this week in the New Governor’s School sponsored by the National Governor’s Association and the Republican Governor’s Association national meeting.