Annus Mirabilis: A Real Holiday Tale from Lansing

by: LiberalLucy

Fri Dec 14, 2007 at 16:53:25 PM EST

...as waxed today by Sen. Mickey Switalski of Roseville.  Quite fitting for the season if I may so myself.

Enjoy the video here, or read the pretty prose below -

  Annus Mirabilis, A Fiscal Odyssey

 Sing, Goddess, the Wrath of Constituencies displeased,
 As Solons took budgets in both hands and squeezed.
 Then, weary with cuts, dropped the red budget axe
 And seized its hated rival, the increase in tax.

 Heroes searched for a cure to the Plague economic
 Hit on Revenue, Cuts and Reforms as the tonic--
 That many brave Pols to the Fate of Recalls sent
 While their bodies by Perks the Pig were rent.

 Say then, What Cause first locked the parties in strife?
 Some say it was term limits that shortened our life.
 Or exuberant tax cuts. Or government waste.
 Whatever it was, we Chronic Deficits faced.

 Granholm threw down the Gauntlet at her State of the State.
 Said she "Sales Tax on Services will be Structurally Great."
 The blown away 'Crats cast their votes for fair Jenny
 Even Fiscal Conservatives, like two-penny Denny.

 But with just sixteen votes, it was never enough.
 Lawmakers decided to chew on this stuff.
 Insurmountable problems, an abundance of critics.
 Tempting solutions that hid pitfalls and gimmicks.  

Oh yes, there's lots more where that came from...

Senate passes service tax replacement, 33-4

by: Hazen Pingree

Sat Dec 01, 2007 at 06:42:28 AM EST

The state Legislature early Saturday started the process of repealing and replacing an unpopular tax on services.

The Senate voted 33-4 to approve a tentative agreement ditching the tax shortly before adjourning at about 5 a.m. The House was expected to convene at about 3:30 p.m. and vote later in the day.

Other details of the deal come to us from the Detroit Free Press:

21.95% surcharge on the Michigan Business Tax to replace lost state revenue.

$6 million is the largest surcharge any company would pay.

2017 is when the surcharge is to expire.

(Go below the fold to read the Governor's press release...)  

Regarding the 'widely despised' and 'much-hated' service tax controversy...

by: Hazen Pingree

Thu Nov 29, 2007 at 08:06:16 AM EST

Stop the Recall Turkeys

by: LiberalLucy

Wed Nov 21, 2007 at 11:08:52 AM EST

Before you grab your knife and fork tomorrow, consider giving Republican out-of-state special-interest groups a different kind of bird to eat, like a little crow.

Thanks to the miracles of these Intertubes, now you can help stop the Pig Man from the comfort of your keyboard. By donating online to the campaigns of two the Democratic representatives whom have already had recall language passed, Marie Donigan of Royal Oak and Robert Dean of Grand Rapids, you can help halt these extremist measures. 

As it stands right now, you'll donate to each individual on a separate site. Be sure to tack on an extra 37 cents to your donation to let them know you're a member of the Michigan Liberal community. 

Remember, these dedicated public servants really need your support for all of the different facets required to fight these turkeys, and you can rest assured that your donation will go to fight to take Michigan back from the extremists who wish to destroy it. 

Dollars and Nonsense

by: kelster

Fri Nov 02, 2007 at 13:45:13 PM EDT

Halloween is over, but Mike Rogers is still wearing his Fiscal Responsibility costume.

He's written another fact-free letter on budget policy targeting Congressman Charlie Rangel (D-NY), chair of the House Ways and Means Committee. Displaying a shaky grasp of the Michigan Constitution, federal tax policy and how Congress enacts laws, Rogers writes

On the heels of Democrat Governor Granholm raising income taxes on every Michigan family by 12% and adding a new 6 percent tax on services, Representative Charlie Rangel, the Democratic chairman of the Ways and Means committee and the man in charge of writing all tax laws, recently introduced a plan that will further hurt Michigan’s economy and families.

The combination of the general tax reductions below and full repeal of the individual alternative minimum tax (AMT) would result in tax relief for approximately 91 million families. Even with offsets, virtually all families with income under $500,000 will see a net tax reduction.

Payback for a Lifetime of Support to the Party

by: rich

Thu Nov 01, 2007 at 09:22:44 AM EDT

Once there was a man from humble beginnings who became very successful. He had served in the Marines, then put himself through Michigan State University while working the night shift at the Oldsmobile assembly line in Lansing. He would later be the first African-American man elected to the Lansing city council and to serve on the Ingham County Board. He would become a successful real estate developer and TV station owner. All along he would grow as a power broker for the state Democratic Party, sitting on various boards, and eventually becoming Chairman of the Michigan State University Board of Trustees.

This highly accomplished man, Joel I. Ferguson, would offer to build a new headquarters for the Michigan State Police (MSP) on a triangular piece of land next to the Grand River. This he would do because the current headquarters, in a building owned by Michigan State University, was deemed too old and decrepit. Afterall, it needed a new roof, which was estimated to cost $2.3 million to redo, and yearly maintenance costs were running up to $340,000. Repairs and upgrades to the current facilities were estimated to be as high as $16 million. Even though MSU was only charging the state $1 per year to lease the facilities, surely the Michigan State Police deserved a brand new, state-of-the-art facility.

The state Republican and Democratic parties don’t have pension or retirement plans for longtime supporters. So they have to go about things a little differently; they use government money for projects that will benefit their most loyal supporters.

More Recalls Announced

by: LiberalLucy

Mon Oct 29, 2007 at 16:23:12 PM EDT

Marie Donigan of Royal Oak is extremely well-liked in her district, and as poster NorthernLib points out, she received over 62% of the vote in the 26th district. It is worth noting that Donigan is in Oakland County, whose Election Commission holds a Republican majority.

Joel Sheltrown of West Branch near the Cadillac area is also a bit of a surprise. While the 103rd District trends red, Sheltrown is a well-liked moderate Democrat who won with over 69% of the vote.

It is unclear why these two specific legislators were chosen, but Donigan's name had been rumored as being on the list of recalls back a couple months ago when it was first being drawn. There are also several questions as to why these recalls are just now being announced.

Stay tuned as we bring you the latest.

Breaking From The House and Senate (updated)

by: DianeS

Mon Oct 29, 2007 at 14:58:31 PM EDT

Up next: A minimum of at least eight budget bills are expected to be voted out the House tonight.  Sources are projecting a total of 10 budget bills in all. 

From the Senate: The Senate just passed the conference committee reports on History, Arts and Libraries (HAL), Dept. of Labor and Economic Growth (DLEG), and Military and Veterans Affairs. 

Up next: The State Police Budget. As of now, our sources inside the House report that there will be no layoffs of troopers, but two crime labs willl close, certainly effecting civil servants.  

For a continually updated list, click here for info from the Senate Fiscal Agency. (Warning - it's a .pdf and it will require Adobe to open.)  

The Senate is adjourned until 10 a.m. tomorrow morning.  

Watch House TV and Senate TV live.

~Liberal Lucy and Diane

Senate Republicans stalling on Budget while state employees suffer

by: LiberalLucy

Fri Oct 26, 2007 at 13:56:03 PM EDT

House Democrats say they're ready to start moving budget bills now.

But Senate Republicans say votes won't occur until next week. That's because they want final agreement on sticking points before they pass other parts of the budget.

At what point do even the most right-wing of Michigan citizens throw up their hands and say enough is enough!?

And while Mikey primps for his next round of interviews with the press, state employees are continuing to feel the pain. This from the AP's Tim Martin -

As Michigan lawmakers work toward an agreement on a new spending plan, some state departments already are planning temporary layoffs and other cutbacks to make ends meet.

Turtlegate: Hoekstra's Gubernatorial Smackdown, Part Deux

by: LiberalLucy

Fri Oct 26, 2007 at 09:15:00 AM EDT

Just when it seemed to be the least likely of four-legged creatures to cause a splash in the political arena, the turtle beats the hare for the win. I'm guessing that Republican Rubberstamper Congressman Pete Hoekstra of West Michigan is wishing he had never heard of the little guys.

After having a temper-tantrum in front of the press about a federally-funded fence going up in his district to protect turtles and motorists alike, Hoekstra didn't like the response his letter to Governor Granholm got. The entire event was merely posturing for Hoekstra's desired run for Granholm's seat in 2010, it seems to have backfired a bit on him. 

While most of the state viewed the tete-a-tete between the Lady Gov and Sneaky Pete from the luxury of their newspapers, Pete couldn't go down without swinging one more lousy punch. I'm also going to take a gander that he's going wake up feeling this one in the morning.

Sitting On It

by: rich

Wed Oct 24, 2007 at 12:00:00 PM EDT

Negotiations between legislative leaders continue over what to cut in order to plug the $430 million hole in the budget by the end of this month. Many cuts are being considered to state services such as prisons, foster care, teachers, Community Health, and Human Services. The legislature has already passed cuts to teachers’ pension and health care benefits.

But it’s also good to be aware of what isn’t under discussion to be cut.

Back in May the House passed two bills, HB 4580 and HRC 26. The first would eliminate the lifetime health care benefits that legislators who have served at least 6 years are eligible for after the age of 55. The second bill would cut their $79,650 yearly salaries by 5%.

The two bills were then delivered to the Senate where they were placed in the Government Operations Committee. They’ve been sitting in that Senate committee ever since.

Bishop happens to chair the Government Operations Committee. So the fate of those two bills is pretty much in the Senate Majority Leader’s hands. Or maybe under his posterior, since effectively he’s been sitting on them.

Piggy Banks - Partisanship = Progress

by: LiberalLucy

Thu Oct 18, 2007 at 09:15:00 AM EDT

Bull, and I'm not talking about the markets.

In this state of ours we've got an incredible force of educators, financial institutions, and community organizations coming together in a spirit of unity and philanthropy, to make real change in a very non-partisan kind of way.

Sure, my mom's one of them and I donated my time to design their very non-partisan blog, but this isn't a tale about me, my mom, a blog, or even politics. It's about how a group of people are working to raise this state from the ashes of financial pain to success, and more importantly, the progress they are achieving without the usual partisanship.

Shutdown, the Sequel

by: northernlib

Wed Oct 17, 2007 at 10:03:49 AM EDT

Michigan still does not have a budget for the fiscal year that began on October 1.  Instead, we only have a month-long continuation of last year's budget and revenue enhancments closing about three quarters of the projected deficit.  There is still a roughly $450 million shortfall that must be resolved to finish the budget.  The clock is ticking and time runs out at midnight on November 1.

Help fight the Pigman!

by: Hazen Pingree

Fri Oct 12, 2007 at 08:19:18 AM EDT

Anti-Tax Jihad Factoid!

Todd Anderson - Vice President of Government Relations for the militant Small Business Association of Michigan and one of the chief instigators of a possible drive to repeal the service tax and - is also the former policy director for failed 2006 Republican gubernatorial candidate Dick DeVos (a.k.a. The Amway Guy). Small world, eh?

Gov. Milliken: thank-yous are in order

by: Hazen Pingree

Tue Oct 09, 2007 at 08:14:53 AM EDT

It is time for responsible voices to speak up and commend those who had the courage to develop a responsible approach to Michigan's very real budget crisis, and thereby avoid a disastrous shutdown of state government.

If we do not speak up, we run the risk of the debate being overwhelmed by the angry voices we hear over and over again repeating the mindless mantra of "no new taxes."

No one likes to pay more taxes. No one likes to go to the dentist, either, but sometimes we have to do that.

As President Franklin Roosevelt once noted, "taxes, after all, are the dues that we pay for the privileges of membership in an organized society."

A few things on my mind...

by: Hazen Pingree

Fri Oct 05, 2007 at 08:13:07 AM EDT

There's a lot more work to do in Lansing, despite the budget deal that averted a government shutdown Monday morning.

The agreement relies heavily -- too heavily -- on revenues through sizable new taxes, but the work to date only glances at cuts or substantive reforms.

-snip-

(L)egislators need to begin thinking more seriously about downsizing government in a way that reflects the state's own diminution and the likely sour outlook for the economy.

Fact or Fiction? Doesn't matter if you're Frank Beckmann

by: LiberalLucy

Thu Oct 04, 2007 at 17:43:10 PM EDT

This morning Beckmann of taped an interview with Gov. Granholm that was to be played later in the day. Beckmann, thanks to his minions at the ultra-conservative blog RightMichigan (RM) was already prepped for a partisan slam on nothing but taxes.

Barely bothering to get his facts right in his questions about the recent budget negotiations, Beckmann accused the Governor of lying to the citizens of this state when it came to tax hikes.

To do this, he played the YouTube clip that RM put together of a debate that took place at TV station in Detroit during the '06 Campaign. The interesting part is, RM couldn't be bothered to put up her answer in entirety, but rather just the part that fit their devious desires.

If he had ethics, Beckmann could have just as easily gotten the clip from WXYZ, who actually hosted the debate. Problem is, it wouldn't have suited his dirty tactics. Even Saul Anuzis, Chairman of the MI Republican Party bothered to post the full clip. Wow. It's a sad day when Saul's own people make him look like the good guy.

So why didn't Beckmann play the real, entire clip? Simple, because if he did, he knew the Governor would have known it was a question about replacing revenues from the Single Business Tax (SBT), and not just a blanket "No New Taxes" pledge, and she would have talked about the SBT/Michigan Business Tax (MBT).

Perspective and Priorities

by: NoviDemocrat

Thu Oct 04, 2007 at 12:40:57 PM EDT

Many of these same voices, most of them Republican, have fully supported President Bush's war in Iraq. They've opposed any efforts to reduce funding for that war. Just this week, the Republicans in Congress voted in support of another $150 billion in additional funding for the war. That's roughly 100 times the amount of the state's budget deficit. That's 100 times the amount of money that Michigan will be investing in its residents. That's $150 billion going over to Iraq to disappear into that black hole, spent on fighting what appears to be an endless war that hasn't produced the outcomes that its promoters promised.

When you hear the angry voices, be sure to point out the skewed priorities of Republicans who will support spending $150 billion on a war in Iraq but won't invest 1/100th that amount into the state of Michigan and its residents.
 

Extremist business group seeks to wreck budget solution

by: Hazen Pingree

Wed Oct 03, 2007 at 08:37:13 AM EDT

Repealing the new tax law would be difficult, but not impossible.

A petition drive that collected 304,100 valid signatures -- a steep requirement -- would force the Legislature to either repeal the law or put the question before voters on a statewide ballot as early as November 2008.

What's not possible is a referendum that goes straight to the ballot, said Bob LaBrant, a legal expert for the Michigan Chamber of Commerce.

He said state law prohibits a referendum to repeal laws intended to avoid a deficit, which both the higher income tax and sales tax accomplish.

The people reserve to themselves the power to propose laws and to enact and reject laws, called the initiative, and the power to approve or reject laws enacted by the legislature, called the referendum. The power of initiative extends only to laws which the legislature may enact under this constitution. The power of referendum does not extend to acts making appropriations for state institutions or to meet deficiencies in state funds and must be invoked in the manner prescribed by law within 90 days following the final adjournment of the legislative session at which the law was enacted. To invoke the initiative or referendum, petitions signed by a number of registered electors, not less than eight percent for initiative and five percent for referendum of the total vote cast for all candidates for governor at the last preceding general election at which a governor was elected shall be required.

Questioning the Media: Whose blinders are we forced into wearing?

by: LiberalLucy

Tue Oct 02, 2007 at 14:24:59 PM EDT

When my pain from a bothersome kidney stone forced me out of the People's House and into my own, I went into despair. I was more or less sequestered on the couch and bed and off the computer. Like the first-string player who gets injured in the fourth quarter, I felt suddenly useless in this fight.

As life usually goes, I stumbled upon a silver lining. It allowed me to see the vast discrepancy in what our media can and will allow us to hear from our government. It sickened me, left me shouting at the TV and the newspaper. It also opened my eyes and my ears.

You've heard from us here at MichLib that our readership has reached unbelievable new levels. While we're eternally grateful to you for making us a part of your day, we haven't been the only people following this budget mess day after day. While I was embedded in the House, the press box population grew day by day, with laptops, recorders, and cameras. Nearly every single media outlet was following the story thanks to their stalwart reporters who were there day and night.

As the site traffic grew, I just figured it was a fluke and in my gratefulness, I didn't ask questions. That's until I turned on the TV and picked up a newspaper and started to digest what the rest of the state was being force-fed. My goodness, you would have thought we were talking about two different states and two very different battles, but no, in fact they were one and the same.

I was amazed about the selective coverage of what the media outlets were reporting, and what they weren't. I got to sample several days of budget coverage from both the Lansing and Detroit media markets, and I suddenly remembered why I never bother to watch TV news or pay for a paper subscription.