(Welcome back Senator Anderson! - promoted by wizardkitten)
(Today, October 15th, bloggers around the web will unite to speak to one single important issue. That issue is the environment. Every blogger will post about the environment in their own way, relating it to their own individual causes. The purpose of this day is to focus on one topic with everyone participating in ideas on building a better future.)
Michigan made national headlines this past week when presidential candidate, New Mexico Governor Bill Richardson to the alarm of Michiganders, suggested a national water policy that included the Great Lakes States "sharing" water with drier states. Like all states, Michigan's economy and quality of life depend on those natural resources. Water is a fundamental part of our most important industries--agriculture, tourism, utilities, and manufacturing--shipping that water away would be short sighted, economically and environmentally.
In Michigan, we are blessed by an abundance of lakes, rivers and groundwater, and we take our responsibility to manage our water seriously. While we are literally surrounded by water, we cannot take it for granted. The Great Lakes hold 95 % of the nation's freshwater supply, and 20% of the world's freshwater supply. If we don't take steps to manage our water, then other thirsty states, and even other countries, will manage it for us. As population growth continues in the West and the South, their political clout will only increase, as will their demand for water.
Water has always been thought of as a renewable resource. We have always operated from the idea that for every gallon we took, another gallon would be there to replace it. However, the magnitude of water that the drier parts of the country would take from us is not replaceable. This would result in huge economic losses and environmental catastrophe. But that is not what Richardson and others are proposing.
In 2001, Michigan signed the Great Lakes Charter and the 2001 Annex, which is an agreement between Michigan and the other Great Lakes states and provinces to create water withdrawal legislation. The charter contains an agreement on registration requirements for use of more than 100,000 gallons per day and permitting requirements for withdrawals greater than two million gallons per day. This would be a crucial first step toward better water resource management.
Iris K. Salters, Preside of the MEA, issued a statement today on the "reforms" that were passed along with the new revenues last night.
"Our political leaders in Lansing have made a devastating mistake in balancing the state budget on the backs of school employees. SB 418 will harm Michigan's public employees without helping the state budget at all, while the slashes to school employee retirement will make it even more difficult to recruit and retain the best and brightest employees for Michigan's students.
We've said all along, this reform costs Michigan money, and it doesn't save money at the local level. But like we pointed out earlier, it was political cover for the Republicans. They couldn't allow a vote on revenues without being able to say they got something out of it.
Salters also mentions the cherry-picking aspect:
"The health insurance pools that will be set up under SB 418 will be cherry-picked to death because of the politically motivated claims data reporting requirements. This bill - which never had any proof of cost savings attached to it - will end up costing many school districts more money. Pools that are already offering high-quality, low-cost health insurance will end up with higher rates when low-ball insurers swoop in to poach low-cost, healthy groups.
In other words, risk pools will get smaller, and low cost pools will have to raise prices.
The Michigan League for Human Services today issued a statement thanking Michigan lawmakers, calling the new budget "a step in the right direction":
The League applauds the lawmakers who cast courageous votes, Gov. Jennifer Granholm for supporting higher taxes and those citizens who took the time to express their support of a budget that keeps vital services and protects vulnerable citizens.
The League expressed its concern for low wage earners, who will be disproportionately hurt by the increase in Michigan's flat income tax. The League also mentioned that programs such as day-care subsidies for low-income parents may still be considered for budget cuts.
I mentioned the service tax in my last post, and that it would generate $613.8 million in 2008, and $751 million per year afterwards. As promised, here is the list of services affected by this legislation, and the expected revenue:
- Business Service Centers ($9.5 million)
- Carpet/Upholstery ($5.2 million)
- Couriers and Messengers ($3.1 million)
- Document Prep Services ($4.8 million)
- Investigation Guard/Armored Car ($27.0 million)
- Janitorial ($43.8 million)
- Investment Advice ($16.8 million)
- Landscaping ($40.5 million)
- Mini-warehouse and self-storage ($3.9 million)
- Transit and Ground Passenger, limo and cab ($10.5 million)
- Office Administration ($79.2 million)
- Other Personal Services ($48.2 million)
- Other Travel and Reservation ($6.7 million)
- Personal care, no haircuts ($14.1 million)
- Scenic Transportation ($14.2 million)
- Security System Services ($14.2 million)
- Service Contracts ($23.5 million)
- Skiing ($2.2 million)
- Interior Design ($27.8 million)
- Tour operators ($2.6 million)
- Consulting ($188.2 million)
- Packaging and labeling services ($20.8 million)
- Warehousing and storage ($21.0 million)
Ok. Not thrilled about the MESSA "reform", as many of you know. But, it's the price Michigan paid for having a Republican Senate.
So here are some of the details of the 3 part deal that ended the 4 hour Michigan shutdown:
The income tax: First, we have a brand new income tax rate of 4.35%. This is an increase from 3.9%. It was passed in the House, 57-52, with Republicans Ed Gaffney and Chris Ward crossing over to vote with Democrats. Democrats Marty Griffin, Mike Simpson, and Lisa Wojno voted no.
In the Senate, the income tax was passed 19-19, with Lt Gov John Cherry casting the tie-breaking vote to make it 20-19. Cross-over votes were Republicans Patty Birkholz, Tom George, Ron Jelinek, and Gerald Van Woerkom, who voted YES. Democrats Glenn Anderson and Dennis Olshove voted NO.
Under this legislation, the income tax rolls back to 3.95% in 2011, and then to 3.9% in 2015. The income tax is expected to raise $765 million for the state in 2008.
The sales/service tax: The second piece is the bill that expands the 6% sales tax to a number of services, listed in another post. This will take effect December 1.
In the House, this passed 56-53. Only the Democrats voted in favor of this. Two Democrats voted against it: Marc Corriveau and Kate Ebli.
In the Senate, Democrat Glenn Anderson voted NO. Republicans Valde Garcia and Ron Jelinek voted YES, bringing the total to 19-19. John Cherry was once again the tie-breaker.
The services tax is expected to produce $613.8 million in 2008, and $751 million per year afterwards.
There's a diary over on Michigan Liberal reporting that Mike Bishop would not allow people to take photographs of the votes in the Senate last night.
Really??
This from the source:
IE votes-tough votes- are not record roll call, so they are not printed in the Senate Journal, the official record of what happened. Film/photos may be only record of who voted for what.
Go check out the diary on Michigan Liberal.
What is Mike Bishop's problem, with letting people have information???
Jeesh.
update:Gongwer reports that Senate rules forbid photographing a non-roll call vote, and another blogger reports that Bishop required a newsman who took a picture of the vote last night to erase his tape.
Good grief.
update #2, 8:23pm: Sub only MIRS reports that it was a Senate staff photographer, and that Bishop "expressed some skepticism about Schauer's claim that he had no idea what she was doing."
(Point of reference: Bishop also thought Wizardkitten was a Senate staffer, and that the budget wouldn't be such a big deal ... so, that's how crafty Mike Bishop is.)
I would have waaay more respect for the Republicans if they would just admit they were using this MESSA "reform" as a means to weaken their political opposition. But they won't do it.
If you recall, the Senate Fiscal Agency concluded that the MESSA reforms would COST the state more money, in administrative and IT costs. It also concluded that it could not determine any amount of savings at the local level. It specifically said that the reform would not "force or guarantee" any savings to districts.
Keep this in mind as Hoogendyk and the Republicans celebrate their victory.
The state House on Sunday night overwhelmingly passed a temporary budget extension that could allow the state to avoid a partial government shutdown that otherwise would hit shortly after midnight.
The budget extension was tied to a bill placing the state's 6 percent sales tax on a wide range of services, which the House had just passed, and to a bill raising the income tax, which had not yet come up Sunday for consideration by the House or Senate.
The Senate already has passed the bill extending the current budget 30 days, but it had yet to vote on the sales tax.
No Republicans voted for the bill placing the sales tax on services; all Democrats did, except for Marc Corriveau of Northville and Kate Ebli of Monroe, who voted no.
There were no votes against the two bills placing the budget extension in place.
From the comments- DJ had a great point. The Republicans, by voting for the extension that was tie-barred to a tax increase, in effect voted for the tax increase. All of them.
Despite the support of a handful of Democrats, the MESSA reform bill just died in the House. They cleared the board on it.
Note: for folks bouncing back & forth between us & Hoogendyk (there seem to be a handful), Hoogendyk's claim that MESSA will save money is false. According to the Senate Fiscal Agency, it will cost the state money, and it cannot be determined whether or not it will save money at the district level. This reform is nothing more than a political attack on the MEA. For more info, view our MESSA diaries.
In the comments we talked a little about Hoogendyk's blog ... in his latest post he tells us that the only people who have asked him to raise taxes are civil servants who want to avoid a lay-off.
It is a sad commentary that more than a few civil servants would rather see millions of tax payers take another hit just so they don't have to take a few days off without pay.
This is the way the Republicans are going to spin this. They don't want to take the blame for their own bad behavior, so they're going to distract the public by blaming the civil servants.
But even our own people are trying to blame the wrong people for a shutdown. Over on Michigan Liberal there's a comment that the MEA shouldn't shut down the state government.
The only people shutting down the state government are the state legislators. Let's not allow Michigan workers be blamed for the failures of Michigan legislators.
Dillon is one of 4 Democrats voting in favor of MESSA busting bill.
Gongwer reports that there are currently 43 YES votes. 39 Republicans, and 4 Democrats. Other Democrats supporting the bill are George Cushingberry, Steve Tobocman, and Marty Griffin.
Whoever he is, he should be fired. Beat him with a stick first, because he's stupid. Make the beatings retroactive too, because he's been stupid all year. Then fire him.
Someone (other than bloggers) needs to tell Dillon to deliver the Democratic votes and move forward. Either release them if he's got them, or capture them if he doesn't have them. He's the Democratic Speaker of the Democratically controlled House for crying out loud, don't tell us he can't get the Democratic votes. Of course he can.
It doesn't matter what he does or who he does, as long as he delivers the revenue.
The legislation that would expand the sales tax to some discretionary services is being held up by 6 Democrats who refuse to vote. These are Kate Ebli, Terry Brown, Marc Corriveau, Marty Griffin, Mike Simpson, and Robert Dean. No Republicans have supported it so far.
Source: sub only MIRS News.
Gongwer also reports that the board was cleared with 52 yes votes, and no Republican votes were shown.
Sub only MIRS is reporting that the deal may be falling apart. House Republicans can't seem to get enough votes for the MESSA busting bill (shut up!) and the business lobby is working on restricting the services which would be taxed.
As you know, the income tax will be filling in the gap between the revenue needed, and that which is raised by the service tax. So in other words, the business lobby is lobbying to raise the income tax of the poor.
In reviewing the list of "reforms", it strikes me that even in a state with a majority of progressive minded people, the conservatives just keep making inroads.
First we have a growing sentiment in support of "right to work", which is union busting at its finest. It's based on that weird conservative premise that if you take wages and benefits away from workers, workers will have more wages and benefits. I don't think I'm meant to understand that particular logic.
Now we have a series of "reforms" going through on this budget deal.
For starters, we have SB 0001, which "requires" healthy lifestyles for Medicaid recipients. I'm not sure how it does that, and if someone reading knows, I hope they'll use the comments to fill us in. I understand the logic behind the theory the public has an interest in the health of people who are receiving public health care. However, it does not sit well with me to allow the government to "require" any kind of lifestyle at this level. And the word "lifestyle" speaks to the extreme right wing base. They're the ones trying to micro-manage the lifestyles of Americans.
The House analysis reports that the fiscal impact of this bill cannot be determined. So what is the purpose of this bill, other than to control the social behavior of Americans?
After procrastinating all year, then taking 2 weeks off in July, and then doing very little in August, the House Republicans are complaining about working so hard.
And Jack Hoogendyk is blogging about how the House is good at recess. Well, it should be. They had all summer to practice.
These are the people who bitch about how union workers are overpaid and under-worked.
Like I said. Oh. My. God.
update:
How's this for hard work? House sessions, from sub only Gongwer:
July 10, convened at 10am, adjourned at 10:15am
July 17, convened at 10am, adjourned at 2:30pm
July 18, convened at 10am, adjourned at 2:30pm
July 19, convened at 10am, adjourned at 11:07am
July 24, convened at 10am, adjourned at 3:47pm
July 25, convened at 1:30pm, adjourned at 6:55pm
Total in July: 21 hours, 35 minutes
August 1, convened at 1:30pm, adjourned at 2:02pm
August 8, convened at 1:30pm, adjourned at 4:30pm
August 21, convened at 1:30pm, adjourned at 3:40pm
August 22, convened at 1:30pm, adjourned at 6:20pm
August 29, convened at 1:30pm, adjourned at 1:50pm
August 30, convened at 12:00pm, adjourned at 3:10pm
