A news service for the people of Michigan from the Mackinac Center for Public Policy

Union Money Helps 'Dues Skim' Stay Alive

Home health care workers still losing money to SEIU despite law to end the scam; dummy employer executive director working only 3 hours a month

Based on emails obtained by Capitol Confidential, after the dummy employer in the “home health care dues skim,” was defunded, the Service Employees International Union (SEIU) donated at least $12,000 to help keep it going. In addition, Susan Steinke, executive director of the dummy employer, moved its headquarters into her home.

Emails also show that Steinke could work no more than five (5) hours a week (later no more than 3 hours a month) for the dummy employer. Her hours were limited in this way in order to allow her to qualify for unemployment insurance benefits. more …

Union Friendly GOP Legislator Spurned by Big Labor

Rep. Zorn target of union attacks after voting for more charter schools

State Representative Dale Zorn has often been a Republican ally to public sector unions by trying to thwart some of his own caucus' reform efforts. Yet, when Rep. Zorn cast the deciding vote in May in favor of Senate Bill 619, which lifted some restrictions on enrollment in cyber charter schools, it infuriated the teacher unions and their allies. more …

Biased Message Pitched in Taxpayer Funded Textbook

Book claims Carolyn Cheeks Kilpatrick was bipartisan legislator

Students in high schools around Michigan and the nation are being taught how former U.S. Representative Carolyn Cheeks Kilpatrick, D-Detroit, was “more interested in finding solutions than focusing on politics,” according to a 2005 American Government textbook still in use. more …

Alcohol Regulation Study: No Advantage To Tighter Restrictions

Michigan’s alcohol regulatory system contributes to higher costs for the public without providing discernible public health and safety advantages, according to a new study. more …

Energy Debates Heat Up As High Electric Rates Continue

Residents and businesses in Michigan are wrestling with the highest electric rates in the region — and with the best way to fix that situation.

As is often the case in Michigan, a more competitive market versus a monopoly market is central to the debate, as is mandating an increase in the amount of renewable energy the state uses. more …

How CapCon Uses Transparency Laws to Hold Government Accountable

These ideas frequently put us on the opposite side of some well-connected and politically powerful special interests, many of which directly or indirectly do receive government money, and have an interest in preserving government secrecy. As seen recently in the politically charged environment in Wisconsin, some of these entities will use extreme tactics against those who oppose their interests . more …

'Taxpayer Burnout' Likely At Play In Rejection Of Grand Rapids Community College Millage Request

After a stunning defeat at the polls Tuesday, the president of Grand Rapids Community College said it will be a long time, if at all, before the school goes back to the voters for more money.

Despite a $150,000 promotional campaign, a traditionally favorable time for millage approvals, and more than 100,000 faculty, students, administrators and alumni in the community, voters rejected the $98.6 million bond issue request by a 14 percent margin. more …

Commentary: Politician 'Ambushes' Government Transparency Group, Gets 'Counter-Ambushed'

Politicians using a public hearing to “ambush” a political foe is hardly rare, eyebrows were raised a couple weeks ago when Republican state representative Rep. Bradford Jacobsen from Oxford attacked an organization called Sunshine Review, whose “radical” mission is to increase government transparency. This week the reform group struck back. more …

Teacher Made Over $80K Per Year, Retires With a Pension of Over $40K — Claims 'Violation of Trust'

Article analysis takes on educators paying 5 percent of pension costs

Does a teacher who made $81,000 before retiring to a $41,400 a-year-pension have a valid complaint that she wasn’t paid enough?

That was the focus of a recent story in The Bridge, The Center For Michigan’s news site, in which former Royal Oak teacher Kathy Kapera was featured. The article said that Kapera thought the lucrative retirement benefits teachers receive “would make up for the relative lack of financial compensation she would earn as a teacher.” more …

Commentary: Legislators Choose School Employees Over Taxpayers on Retirement Benefit Reform

Unlike regular pension checks, nothing in law obligates taxpayers to honor these retiree health benefit promises. The politicians never set aside any money to pre-fund them, and implicitly reserved the right to trim or even eliminate them should the cost become unaffordable. Considering that benefit costs increased by $366 million since 2000, an 85 percent jump, these costs are prohibitive. more …

Federal 'Stimulus' Spent $34.5 Million In Michigan For Only 183 Total Jobs

14 companies spent over $188K per job

One company, Astraeus Wind Energey Inc. of Eaton Rapids, got a $7 million grant and a loan of $1.54 million and has created 11 jobs. If no other workers are hired, those jobs were created at a cost of $776,364 each. more …

Analysis: Local Governments Wrong to Call Foul On Property Tax Reform

Phase out, elimination of tax credits and improving economy should help communities adjust

As to the threat of local units raising overall property taxes if the bill passes, local government boards are already making good on that threat without the bill even passing. For instance, schools alone are asking to increase local property taxes by $540 million this year alon more …

Teachers' Union Fails Accounting 101

Union reports revenues as profits in claims about cyber school operator

In an attack on the bill that would allow more charter online cyber schools, the American Federation of Teachers Michigan union claims that a private company that provides curriculum for charter cyber schools made $522 million in profits in 2011.

In fact, K12 Inc. had total revenues — not profits — of $522.5 million, and a net income of $12.8 million, according to MarketWatch. more …

Carnac Predicts: Schools Will Try to Enroll Kids Who Are too Young

The bill, now in the House Education Committee, was introduced because of a consensus that 4-year-olds who don’t turn 5 until Dec. 1 are too young to start kindergarten in September, and suffer as a result. But school districts don’t want to lose the money they get for these too-young kids, which is why the change will be phased in over three years, and why the “opt out” was negotiated for their benefit. more …

Allen Park Turns to Residents For Bad Investment Bailout

City loses tens of millions in quest for film business'

Allen Park City Manager John Zech said although the studio was a “principal reason” for the financial crisis, he said the city has overspent in other areas over the years.

The city also has a community center that includes a hockey rink that has run about $300,000 to $400,000 a year in the red. more …

Commentary: Michigan's Job Loss Apocalypse Averted!

No thanks to the 'Department of Corporate Welfare.'

During a three-month period ending last September, 190,661 Michigan jobs disappeared. That’s nearly one out of every 20 jobs in the state.

So why weren’t there headlines about an employment apocalypse? Because during the same period 227,785 new jobs were created here. This “job churn” is typical of the dynamic U.S. economy and labor market, and it goes on continuously. more …

City Claims Significant Workforce Cut; Budget Says Otherwise

Analyst: '[E]xploiting voters' fear of crimes to extract more money...'

For the second time in two years, the city of Oak Park is asking for a tax increase via a public safety millage, saying it has made signficant cuts in its workforce but that those efforts didn't save enough money.

The city's budgets online, however, appear to dispute the claims of how deep those cuts were. more …

Commentary: There Are Alternatives to PA4 ...

... But the unions will like them even less

Asking the unions for alternatives to PA 4 is somewhat like asking the Japanese military for alternatives to bombing Hiroshima and Nagasaki as a means of ending the war in the Pacific. The unions are not likely to give us any workable solutions. To a large extent they are the problem. more …

Where Is the $31K Teacher With a Master's Degree?

A Tecumseh Public School official says there isn’t a second-year teacher with a master’s degree making $31,000 a year in the district despite repeated claims by the Michigan Education Association and a local website that such a teacher exists. more …

'Skim' Tracker' Hits $30 Million

A dubious milestone — the taking of $30 million from home health care worker paychecks — has been reached and the number is still climbing. more …

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