And That's a Wrap- Fiscal Year 2013 Budget Process Concluded

Republican office holders from Michigan Governor Rick Snyder to Senate Majority Leader Randy Richardville (R-Monroe) and House Speaker Jase Bolger (R-Marshall) took to the airwaves this week to applaud their efforts to again pass a balanced budget well ahead of past years. The education budget, or “school bus,” includes funding for k-12, community colleges and higher education and was the last budget to be approved with final voting on the measure Tuesday and Wednesday. The $14.8 billion spending plan joins the $34.4 billion omnibus budget for all other departments that was passed last week.

Senate Appropriations Committee Chair Roger Kahn (R-Saginaw) noted that the achievement marked the first time in 30 years that the Legislature had concluded the budget work prior to Flag Day in consecutive years. Later in the week, however, Senator Kahn voiced his hope that next year’s budget process would include movement away from the omnibus process as it has lead to “inappropriate speed” in completion.

Appearing at a press conference, the Republican leaders called an easy and early budget process conclusion the “new norm” that should no longer be the news story of the summer.

posted by PAA Online , Friday, June 8, 2012 10:23 AM
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Cassis Chosen by Oakland and Wayne GOP to Run in 11th District

In the wake of the petition signature snafu that left U.S. Representative Thaddeus McCotter (R-Livonia) off the GOP Primary ballot this coming August, Oakland and Wayne county Republican leadership met this week with the goal of deciding upon a credible candidate to run a write-in campaign.

The decision: former State Senator Nancy Cassis (R-Novi).

The only Republican left on the ballot in Mr. McCotter’s absence is Tea Party activist Kerry Bentivolio, a Milford-area teacher and reindeer farmer that the party brass views as more Libertarian than Republican. His positions on issues such as national defense have left him far out of line with mainstream Republicans and forced the search for a write-in candidate.

Ms. Cassis’ conservative voting record, resource availability and, likely most importantly, name recognition in portions of the district, reportedly made the decision clear for the two county party groups. The other major players in the discussion were former State Senator and Lt. Governor candidate Loren Bennett and former House Majority Floor Leader Andrew “Rocky” Raczkowski.

Ms. Cassis served in the State House of Representatives from 1997 – 2002, the State Senate from 2002 – 2010 and most recently had been serving as a consultant to the Detroit International Bridge Company, owner/operator of the Ambassador Bridge.

posted by PAA Online , 10:22 AM
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State Threatens to Withhold Revenue Sharing to Detroit

The Financial Stability Agreement, or consent agreement, entered into between the State of Michigan and the City of Detroit remains in flux as the city continues its lawsuit. Detroit corporate counsel Krystal Crittendon filed suit in Ingham County Circuit Court claiming that the consent agreement is null and void because of the State’s alleged default status to the city on multiple items.

The State, through a Department of Treasury communication to new Detroit CFO Jack Martin, indicated that if some parts of the consent agreement are not applicable, so are others – such as the complex $137 million financing put into place to prevent the city from going broke in April. The city is scheduled to receive June and August payments of $25.1 million apiece, and $27.7 million in October – funding the State says will not be received by the City of Detroit unless the lawsuit is withdrawn.

Meanwhile, Detroit City Council has yet to appoint their two individuals to the Financial Advisory Board created by the consent agreement and the all-important position of program manager remains vacant.

posted by PAA Online , 10:21 AM
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Detroit Lighting Authority Measure Approved

DETROIT LIGHTING AUTHORITY MEASURE APPROVED

The estimated 44,000 inoperable street lights in the City of Detroit and the estimated $150-160 million it would cost to repair them all have long been a resounding metaphor to the troubles of Michigan’s largest city. The House of Representatives took a significant step Thursday in paving the way for Detroit and other municipalities to address lighting issues.

House Bill 5688, sponsored by Representative Maureen Stapleton (D-Detroit), provides cities with the authority to create lighting authorities to operate and provide financing for lighting systems. Each board, which will also have the authority to float bonds, must consist of five residents of the community including an accountant, and engineer and a lawyer.

Most interesting was not the substance of the legislation, nor the 79-27 final vote tally, but the process and the fact that the measure was only finally passed on the third attempt after having the voting board cleared twice. The issue at play, which ultimately caused Democratic “no” votes and Republicans not to vote at all on the first two tries, was the measure’s treatment of labor unions.

An amendment to the legislation stated that authorities would not be required to hire union workers; however, if union workers were to be hired then existing contracts would remain in effect.

The bill would provide the new authority to the City of Detroit and forty other cities.

posted by PAA Online , 10:20 AM
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Welfare Recipient Drug Testing Requirement Passes House

House Bill 5223 passed the House of Representatives Thursday 71-37 after significant debate and dozens of failed attempts at amendments. The measure, sponsored by Representative Jeff Farrington (R-Utica), proposes to require welfare cash assistance recipients to submit to a drug screening if suspected of drug use.

According to the legislation, if the drug test is negative the individual pays for the cost of the test through a deduction from their first assistance payment. If the drug test is positive, the individual becomes ineligible for the assistance and the state picks up the tab for the test.

Among the 17 defeated amendments offered by Democrats were efforts to require members of the State Legislature to submit to the same drug screening, as well as an amendment to change the responsibility of paying the cost of a negative test to the state. Additionally defeated was an amendment offered by Representative Tom McMillin (R-Rochester) that would require the recipients of “corporate welfare” to be subjected to the same test – business executives that receive loans, grants or other state assistance.

If passed, the program would begin by being piloted and would expand statewide after several years. It is estimated that, upon going statewide, the drug testing program could save as much as $3 million annually.

posted by PAA Online , 10:19 AM
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PAAdvisory Briefs

President Obama, Governor Romney Tied in Latest Poll

In the most recent EPIC/MRA poll of 600 likely voters conducted June 2^nd through 6^th, U.S. President Barack Obama and the presumptive GOP nominee, former Massachusetts Governor Mitt Romney, are in a statistical dead-heat in Michigan. With a 4-percent margin of error, the poll showed a 46-45 Romney favorable on the basic question of support and a 46-45 Obama favorable after basic positions were outlined.

House Moves Bill to Increase Retired Legislator Health Insurance Premiums

The House of Representatives moved House Bill 5548 this week, legislation to require retired legislators to pay 20-percent of their health care premiums. The bill, sponsored by Representative Andrea LaFontaine (R-Richmond) passed 100-8.

No Financial Review Team for Pontiac Schools

State Superintendent of Public Instruction Mike Flanagan has recommended that Governor Snyder not appoint a review team for Pontiac Schools. Following his preliminary review of the District’s finances, Flanagan found that the District is following an approved deficit reduction plan which has, more recently, included the closure of two schools, the laying off of 30 teachers, and a new agreement with existing teachers for a 6 percent pay cut.

Jackson Back on 13^th District Ballot

After initially being rejected for the Democratic Primary ballot in the 13^th Congressional District, State Representative Shanelle Jackson (D-Detroit) is back on after winning her appeal to the Wayne County Bureau of Elections. The clerk who had previously ruled that Rep. Jackson was 10 signatures shy of the 1,000 needed was able to approve signatures that had previously been rejected. State Senator Bert Johnson (D-Highland Park), State Senator Glenn Anderson (D-Westland) and current U.S. Representative John Conyers (D-Detroit) are the other notables on the ballot.

posted by PAA Online , 10:18 AM
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