
"Your silent tents of green
We deck with fragrant flowers;
Yours has the suffering been,
The memory shall be ours."
- Henry Wadsworth Longfellow


One of Michigan's largest employee unions organized a group of about 60 people from the Grand Rapids Home for Veterans to converge on state Rep. Lisa Posthumus Lyons' meeting Thursday evening.
The group attended her regularly scheduled meeting with constituents, at Robinette's Apple Haus, to protest budget cuts that will eliminate their jobs.
The proposed cuts would come from outsourcing resident care jobs. But employees said the issue revolves around much more than just money.
"We have members there that have needs at certain times of the day, that we, as people, who have been working there all of this time know what their needs are," said Hazel Gant, who works with veterans.
Military and Veterans Affairs:
Budget: $152.48 million, up $2.4 million
Highlights: Saves $4.2 million by privatizing 171 resident care aides at the Grand Rapids Home for Veterans.
During the April budget impasse that nearly resulted in a government shutdown, House Republicans fired a warning shot at veterans by passing H.R. 1, which sought to end the Housing and Urban Development Agency's Veterans Affairs Supportive Housing program (HUD-VASH). In the past three years, the HUD-VASH program has helped nearly 30,000 veterans by providing housing vouchers and assistance to help them get back on their feet. Thankfully, H.R. 1 was defeated in the Senate, but the battle isn't over.
The so-called deficit hawks are back on the warpath. House Speaker Boehner is now calling for trillions of dollars in cuts from the federal budget, as opposed to the one-hundred billion in cuts Republicans fought for in April. Not only that, but the current Republican budget blueprint, the "Ryan Plan," sets the 2012 Veterans Affairs budget at $128 billion, down $4.2 billion from the department's proposed budget. With our military currently fighting three wars, which are creating more wounded veterans every day, the Ryan budget is a slap in the face to anyone who has ever served in uniform.


Kent County Recall Rick Snyder will have volunteers at the Fulton Street Farmer's Market from 8-noon on Saturday, May 28. We will be at either end of the market, all of our volunteers will have clipboards and will be ready to take your signature.
Come sign the Recall Rick, and get some veggies and plants from local farmers at the same time.
We hope to see you there!
“It’s a new day in Michigan,” Snyder said. “We’re leaving gridlock and negativity in the past. Michigan has not been well served by the annual budget dramas that have taken government to the brink of shutdown.
But several lamentable provisions will stand in the Human Services budget, including eliminating the back-to-school clothing allowance for 124,000 children whose families receive some form of assistance.
The selfishness and cold, uncaring politics that drove the excising of this allowance from the budget should be long remembered by voters. There are some elements of our Legislature who do not appreciate (or maybe even understand) the distinction between austerity and cruelty.
Solar power may be cheaper than electricity generated by fossil fuels and nuclear reactors within three to five years because of innovations, said Mark M. Little, the global research director for General Electric Co. (GE)
“If we can get solar at 15 cents a kilowatt-hour or lower, which I’m hopeful that we will do, you’re going to have a lot of people that are going to want to have solar at home,” Little said yesterday in an interview in Bloomberg’s Washington office. The 2009 average U.S. retail rate per kilowatt-hour for electricity ranges from 6.1 cents in Wyoming to 18.1 cents in Connecticut, according to Energy Information Administration data released in April.
GE, based in Fairfield, Connecticut, announced in April that it had boosted the efficiency of thin-film solar panels to a record 12.8 percent. Improving efficiency, or the amount of sunlight converted to electricity, would help reduce the costs without relying on subsidies.
But it will not be the last tax change coming. (Snyder) said he planned to address the personal property tax in the fall, but had to work with local governments to be sure the solution did not overly affect their coffers.
This year's report, based on 2009 tax data, found that property and sales taxes comprised 70.7 percent of total business tax payments by Michigan companies.
Just 11.7 percent of taxes paid by Michigan businesses came from gross receipts and corporate income taxes captured by the MBT. The rest of the business tax burden is in unemployment, licensing and other miscellaneous taxes.
Senate Majority Leader Randy Richardville said the GOP-led Legislature could slash personal property taxes on businesses after lawmakers cut taxes on most companies last week.
‘We can’t afford to scare businesses away,” said Richardville, R-Monroe, who appeared before about 75 people at the Saginaw County Republican Party Lincoln Day luncheon Monday at the Horizons Conference Center. The issue could arise in the fall.
U.S. dependence on imported oil fell below 50 percent in 2010 for the first time in more than a decade, thanks in part to the weak economy and more fuel efficient vehicles, the Energy Department said on Wednesday.
The department's Energy Information Administration said it expected the moderating trend in U.S. oil-import dependency to continue through the next decade due to improvements in energy efficiency and even higher fuel economy standards.
The new data could undercut efforts by Republican lawmakers to expand offshore oil drilling to reduce oil imports, and support the position of the Obama administration and environmental groups that higher mileage requirements for cars and trucks would help cut dependence on foreign oil.
Imports of crude and petroleum products accounted for 49.3 percent of U.S. oil demand last year, down from the recent high of 60.3 percent in 2005. It also marked the first time since 1997 that America's foreign oil addiction fell under the 50 percent threshold.
In surveys we conducted over the last year, Americans express a clear preference for much higher fuel economy standards. Just last month, for Ceres, we explored attitudes in the heart of the industrial Midwest and the headquarters of America’s auto industry — Ohio and Michigan — where we found overwhelming support for at least a 60 miles per gallon standard.
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Voters in the Ceres polls express 4-to-1 support for a specific proposal with two elements: stronger pollution controls on automobiles and a 60 mpg fuel economy standard by 2025 for new cars, pickup trucks, minivans and SUVs. Over three-quarters in both states favor this proposal, while less than 1 in 5 oppose it.
Support is broad, deep and bipartisan, extending to those in affected industries. Some 9 in 10 Democrats join three-quarters of independents and two-thirds of Republicans in supporting this proposal.
Many assume that those who derive their living from the auto industry are as skittish about these standards as those who run car companies. Wrong. Those who live in households dependent on the automobile industry respond much like everyone else, with over two-thirds favoring the 60 mpg standard. In Michigan, 74 percent of voters in UAW households favor the strict standards, while just 26 percent oppose them.
Overall, it amounts to a $220 million net cut in tax revenues to state coffers, but for Michigan businesses, including some 100,000 that no longer will have to pay the repealed Michigan Business Tax, it’s a $1.65 billion cut.
The difference is being made up with $1.42 billion in additional income taxes, which includes applying the tax to pensions and other retirement income.
"No one disputes the importance of Pure Michigan. But we had a massive deficit we needed to take care of," (Senate Republican spokesman Matt) Mardsen said.
After three down years, travel and tourism spending in the state rose 14% last year to $17.2 billion, up from $15.1 billion in 2009 -- the biggest one-year jump in Michigan history, according to the latest annual national survey by D.K. Shifflet & Associates of McLean, Va.
Especially notable was a 21% spike in spending by out-of-state leisure visitors, quite likely linked to the cumulative impact of the state's first-ever national cable TV buys of advertising time in 2009 and 2010 for the Pure Michigan campaign.
• Business-related travel in Michigan perked up with a 15% gain in 2010 to $4.6 billion, after plunging nearly 30% between 2006 and 2009.
• Leisure travel spending outpaced business travel by nearly a 3-1 margin, with spending by out-of-state leisure visitors surpassing that of in-state Michigan travelers for the first time. The narrow margin: $6.37 billion to $6.25 billion.
• State tax revenue from tourism grew 13% to $964 million last year, and 152,600 jobs were generated, up 10,000 from 2009.


The additional money, about $200 per student, would be added back in the budget to help districts with their retirement costs and to reward “best practices” that include service sharing and lowering employee benefit costs.
The agreement announced Thursday still reduces the foundation allowance for K-12 from $7,316 to $6,850, $470 per pupil. But it adds back $20 million in categorical spending Snyder cut, including $13 million to reduce class sizes.
Universities would see a 22 percent reduction in state aid. Schools that hold tuition increases to 7.1 percent for the next school year would see that reduction shaved to 15 percent.
The budget restores $30 million in funding for state aid to county and municipal governments. Cities that share services and lower benefit costs would share in a $215 million “best practices” fund that replaces the $304 million in statutory revenue sharing they’re receiving in FY 2011.
House-passed language in the higher education budget that penalizes universities another 5 percent in state aid if they offer domestic partner benefits will be replaced with “intent” language, with no penalty, that it's the Legislature's view that they not offer them.
Separate language requiring universities to report to the Department of Community Health their embryonic stem cell research activities will remain. Snyder’s legal counsel Wednesday said the language was unconstitutional. Asked if he would veto it, Snyder declined to say.
Landowners, area residents and anybody who was interested on Wednesday night attended an open house with Juno Beach, Fla.-based NextEra Energy.
NextEra hopes to install about 100 megawatts of wind power in the Bay-Tuscola county area, and officials from the company say the company's open houses serve as a way to begin building what could be a 30-year relationship with the community.
Mary C. Wells, a NextEra spokeswoman, said many landowners are signed up to lease their land for the potential development but more are still needed to reach the goal of 9,000 acres.
And, before any construction can begin, the company must reach power purchase agreements with a utility company.
John Deere Renewables has two wind farms in the Thumb area, with 48 turbines near Ubly and 32 turbines near Elkton. Consumers Energy purchases the power generated by those wind farms.
DTE in April announced a $225 million investment to build three wind farms on 15,000 acres in Huron and Sanilac counties, to produce about 110 megawatts of electricity annually.
And in Gratiot County, Chicago-based Invenergy is in the early stages of expanding its four-township, 125-turbine, 30,000-acre wind farm development to five more townships — Lafayette, Emerson, North Star, Newark and Hamilton — in southern Gratiot County.

The economic policies of President Barack Obama and former Governor Jennifer Granholm are working. News that the state has more revenue than anticipated and a positive economic projection by University of Michigan economists demonstrates the state is and has been in economic recovery.
“From Michigan’s growing clean energy sector to the bridge loan for the auto companies, Governor Granholm and President Obama are proving that their economic policies are having a positive effect on our recovery,” Michigan Democratic Party Chair Mark Brewer said. “While we still need to create more jobs and help small businesses thrive in our changing economy, the news this week is encouraging. The seeds planted by Governor Granholm, particularly in the clean energy sector, are starting to lay the foundation for Michigan’s 21st century economy.”
Anyway, come Christmas time, Nancy decided to invite the Bushes (both 41 and 43) and the Cheneys and Karl Fucking Rove to fly in for a barbecue. I suggested this was like inviting all of the characters in “Whatever happened to Baby Jane?” into your living room, but she said that she liked to keep an eye on the latest tenants in her old house.
Of course, once they arrived, I realized I had gotten the reference wrong. Lynne Cheney might look and behave like Bette Davis coming down from a three week whisky-and-blow bender, but the rest of them resemble nothing so much as the cast of the Tim Burton version of “Gilligan’s Island”. Nancy and I would have to fight over who gets to be Ginger, and Ronnie could give a special guest appearance as the SS Minnow – thick as a plank and leaking at the seams.
Nancy and Ronnie and I were seated at the table in the garden when the guests arrived en masse – W wide eyed and giggling a little when he said hello to Ronnie, Lynne eyeing off the cutlery, and Dick gurgling as usual when he walked as the bile and shit and other viscous fluids redistributed themselves within his carapace. Barb and Nancy managed to shake hands without biting each other, which was a nice change.
I had the butler hand out the special drinks which I had prepared – bright-green vodka gimlets with Grammy’s special garnishes. The cheap vodka, of course – I was scarcely going to waste Nancy’s good stuff on that lot. I was going to slip some Valium into Laura’s glass, but she had pre-anesthetized herself, so it hardly seemed worth the bother. Not much was getting past her pink haze, although she still flinched, just a tiny bit, whenever W spoke. We sat her at our end of the table and gave her a spoon to look at and she seemed quite happy.
In case there was any question, Gov. Rick Snyder made it plain today: Business tax incentives as Michigan knows them will be gone.
With elimination of the Michigan Business Tax and a new 6 percent corporate income tax in place, Snyder proposes eliminating tax credits for brownfield redevelopment, the Michigan Economic Growth Authority program, alternative energy, energy, film, renaissance zones and others.
- A $514,000 tax incentive for Summit Health Inc. to create 252 jobs over three years by locating its headquarters and a research and development center in Novi.
-- A nearly $300,000 tax incentive over three years for Tianhai Electric North America — a subsidiary of China Auto Electrics Group Ltd. — to create 202 jobs for a world headquarters to manage its global wire harness business for non-Chinese carmakers.
-- A $ 1 million tax credit over five years for Kenersys Americas LLC, the U.S. unit of a German wind turbine maker, which projects to create up to 160 jobs in a new sales and headquarters operation in Troy.
Also under review are three brownfield redevelopment projects — two in Detroit and one in Warren.
The projects, if approved, would generate nearly $187 million in new investment and create up to 911 jobs, according to an MEDC statement.
State officials are meeting this morning to consider more than $1.5 million in tax incentives for a downtown East Lansing project.
The project, called St. Anne Redevelopment, includes demolishing two commercial buildings at 213-217 Ann St. and replacing them with a single, four-story residential and commercial building.
Efficiency is a problem with today's solar panels; they only collect about 20 percent of available light. Now, a University of Missouri engineer has developed a flexible solar sheet that captures more than 90 percent of available light, and he plans to make prototypes available to consumers within the next five years.
Patrick Pinhero, an associate professor in the MU Chemical Engineering Department, says energy generated using traditional photovoltaic (PV) methods of solar collection is inefficient and neglects much of the available solar electromagnetic (sunlight) spectrum. The device his team has developed -- essentially a thin, moldable sheet of small antennas called nantenna -- can harvest the heat from industrial processes and convert it into usable electricity. Their ambition is to extend this concept to a direct solar facing nantenna device capable of collecting solar irradiation in the near infrared and optical regions of the solar spectrum.
"Our overall goal is to collect and utilize as much solar energy as is theoretically possible and bring it to the commercial market in an inexpensive package that is accessible to everyone," Pinhero said. "If successful, this product will put us orders of magnitudes ahead of the current solar energy technologies we have available to us today."
As part of a rollout plan, the team is securing funding from the U.S. Department of Energy and private investors. The second phase features an energy-harvesting device for existing industrial infrastructure, including heat-process factories and solar farms.
Within five years, the research team believes they will have a product that complements conventional PV solar panels. Because it's a flexible film, Pinhero believes it could be incorporated into roof shingle products, or be custom-made to power vehicles.
"It’s a historically significant place and we have a huge investment of public dollars in it," said Mike Paluda, a retired DNR administrator now living in Marquette. "This is an embarrassingly bad decision by the DNR. We have over a million dollars invested in the island."
To those who have been there, the island is a premier outdoor recreation area, but even most of them don't know that the island was the site of summer camps of Woodland Indians some 5,000 years ago; or that lime kilns were constructed there in the early 1700s or that it was a 20th century sportsmen's club, attracting the likes of Hoot Gibson, Diamond Jim Brady and Mae West.
"More recently, Lime Island was owned by Consolidated Coal, which supplied coal-burning steamers and, later, bunker oil to diesel-powered ships plying the Great Lakes," said Janet Chilson, a volunteer host on Lime Island.
Janet and her husband, Howard, live on the island from May through September, caring for the island, interpreting its amazing history and helping campers to enjoy their visit.
"When the company pulled out in 1982, the island's little village, including the small cottages, the one-room schoolhouse and the company superintendent's house, became a ghost town," Janet Chilson said. "Consolidated Coal then sold the island to the state for one dollar, but with no money for development, the village quickly deteriorated at the hands of vandals, until the DNR was given management oversight and began bringing the island back to life."
The DNR Parks and Recreation Division is expected to take over management of six cabins on Lime Island, which were on the proposed closure list, Dettloff said.
Michigan tax revenues are officially on the rebound, which could be good news for K-12 schools facing cuts of at least $340 per pupil.
How much cash is added back in as lawmakers complete the fiscal 2012 budget in coming weeks depends on competing pressures lawmakers face.
Local school administrators and parents will argue that not only are the cuts approved so far too deep, they’re unnecessary given estimates today that show revenue up nearly $900 million total for fiscal 2011 and 2012.
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Some lawmakers want to reopen the tax debate and drop the income tax rate down to 4.25 percent on Oct. 1, as current law requires. Under Snyder’s tax plan he’ll sign into law this month, the rate stays at 4.35 percent until Jan. 1, 2013.
"If Lansing seems interested in spending some of this estimated additional revenue, then I believe a significant portion of it should be used to drop the personal income tax rate...” said Rep. Tom McMillin, R-Rochester Hills.
East Lansing Democrat Gretchen Whitmer said she had a deal in place last week with Republican Senate Majority Leader Randy Richardville of Monroe that is not being acknowledged by Governor Rick Snyder.
“We had an agreement that the cuts would be down to at least $245-per-pupil, which is a significant improvement from what the governor originally proposed,” Whitmer said.
“We had an agreement, and now they’re back-tracking. So, yeah, I am frustrated. I don’t know how you can move the state of Michigan forward and leave forced cuts on our schools that are unnecessary. These dollars need to go toward education, and they need to live up to the promise of that,” she said.
‘We can’t afford to scare businesses away,” said Richardville, R-Monroe, who appeared before about 75 people at the Saginaw County Republican Party Lincoln Day luncheon Monday at the Horizons Conference Center. The issue could arise in the fall.
Personal property taxes, or the taxes imposed on such things as machinery and equipment, help fuel local governments budgets, but cuts were needed, Richardville said, adding it could cause some “angst.”
Two Michigan state senators have introduced a bill to preserve tax credits for movie making in the state that would allow the state to award filmmakers tax credits of up to 42 percent for their production expenditures, instead of an absolute 40- or 42-percent.
Senate Bill No. 383 was introduced Thursday by Sens. Mike Kowall, R-White Lake Township, and Virgil Smith, D-Detroit. Kowall, chair of the Senate Economic Development Committee, acknowledged that winning support for it is "going to be tough," but "I've got a good feeling about it."
Even though the state Legislature voted to eliminate the credits as part of a tax- reform package Thursday, Senate Bill 383 could restore some incentives for the industry.
Michael Finney, CEO of the Michigan Economic Development Corp., said that under these terms, he expects the state's film tax credits would vary from 10- to 30-percent. The actual number would vary depending on the state's negotiations with each production company. Kowall said he consulted with MEDC officials on the bill.
Finney also said the state would like to make TV commercials eligible for the incentives for the first time.
Sounding much like a preacher in the pulpit, King referred to his Christian faith and urged political activism to bring nonviolent change. The union leader criticized former CEO-turned-GOP Gov. Rick Snyder and Republicans in the Legislature with the enactment of tax polices and budget cuts that King said would double the budget deficit while giving tax breaks to corporations. Republicans have said the changes are necessary to create jobs and eliminate those same deficits.
“Budgets are moral documents,” King said. “Don’t tell me you are for family values” and take away money from education, the poor and pensioners, he said.
“Is it right to take money from all these groups and give a windfall to corporations? Absolutely not,” he declared. “Who in their right mind goes and gives a $1.9 billion giveaway to corporations in Michigan but does not require that one single job be put back in the state of Michigan? That’s crazy.
“We need to be laying out the truth,” he added. “This is the most anti-democratic leadership, this is the most anti-Christian leadership. The Bible I believe in says you take care of the needy in society. Says that when people who (through) no fault of their own lose their jobs ... (you) create a cushion.”
The governor’s spokeswoman was not immediately available for comment.
King faulted congressional Republicans with a push to enact permanent tax cuts for the wealthy and a failure to invest in infrastructure and education to create jobs, he said during the speech.
“You don’t take from workers, you don’t take from pensioners, you don’t take from kids to try to give more and more to the wealthy,” he said. “They are destroying America. That sounds extreme, but I believe the facts are overwhelming. If we don’t demand fairness and justice in America, they are going to destroy America.”
Michigan's improving economy likely will bring in hundreds of millions of dollars in additional revenue this year and next, the House and Senate fiscal agencies said Friday.
The House Fiscal Agency warned, however, that the new business tax cut just enacted will cut revenue in the budget year that starts Oct. 1 and that about $77 million of this year's surplus likely will have to be used to fill the resulting hole.
"Overall revenues are up, but the tax proposal that was just enacted will wipe out a portion of those increases," HFA deputy director Mary Ann Cleary told The Associated Press.
State budget director John Nixon says he's pleased by the expected rise in tax dollars, but warned against heeding calls from Democratic lawmakers to use the extra funds to beef up spending on areas such as education rather than one-time costs.
"Our recommended budget not only gets us truly balanced in 2012, but in 2013 as well," he said. "Decisions to build the 2012 budget with any 2011 surplus would jeopardize that strong position, and only serve to delay needed decisions by another year."
"The temptation to spend unanticipated money will be strong, but we cannot forget that we have a duty to be fiscally responsible," he said in a release. "We need to stop the past practice of using one-time money to prop up ongoing spending."
The House Fiscal Agency's numbers show the business tax cut hitting the school aid fund hard, dropping revenue by nearly $670 million in the next budget year compared to what state economists expected in January. That would leave school aid revenue at $10.7 billion for the 2011-12 fiscal year. The agency expects total general fund revenue to be $7.8 billion.
Michigan’s treasury will have $429 million more revenue to spend this fiscal year than was expected earlier this year, state economists agreed today.
But a projected $499 million windfall for next year could be largely eaten up by a new tax system awaiting Gov. Rick Snyder's signature.
Over the past decade, one-third of the manufacturing workforce in the U.S. - 5.5 million jobs - have vanished.
(Dow CEO Andrew) Liveris says creating manufacturing jobs must be America's priority. After President John F. Kennedy said, "We go to the moon," Liveris says, "it actually created whole new industries because of a national mission. I think we need a national mission."
A mission could help the entire economy take off. For every $1.00 in sales generated from manufacturing, another $1.40 is created for the businesses that support it.
"Since when did making stuff become a bad thing?" Liveris asks. This past year, Michigan has created more than 30,000 new manufacturing jobs - more than any other state. To make solar shingles over the next four years, Dow expects to hire 1,300 workers with starting salaries of $30,000.
"It's jobs where workers from displaced industries can be retooled and retrained," Liveris says. "We not only can do it. We are doing it."
The largest photovoltaic solar array in Southeast Michigan will be built at the General Motors Detroit-Hamtramck assembly plant, turning sunlight into electricity to help power the home of the Chevrolet Volt electric car.
The 516-kilowatt project, announced Wednesday by GM and DTE Energy, will generate electricity capable of charging 150 of the electric cars with extended-range capability every day for a year – a total of 54,750 Volts.
The 264,000-square-foot project is expected to be completed at the end of the summer and will save the facility approximately $15,000 per year over the 20-year easement agreement. The Detroit-Hamtramck facility was chosen because it has available space for the array and because it is home to the Volt.
"This array will significantly decrease energy consumption by combining solar power with ongoing efficiency tactics such as lighting and equipment upgrades and automating equipment shut-down," said Bob Ferguson, vice president of GM Public Policy. "Making sustainable choices is good for both the environment and our bottom line. Obviously cost savings is critical for GM, and the ability to save $15,000 per year while being environmental serves us well."
The Detroit-Hamtramck installation is part of DTE Energy's SolarCurrents pilot that calls for enough photovoltaic systems to be installed on customer property or rooftops during the next five years to generate 15 megawatts of electricity throughout Southeast Michigan. DTE is investing $3 million in the array at Detroit-Hamtramck.
Gov. Rick Snyder had kind words today for Energetx Composites, LLC as he presented the company with the first-ever “Reinventing Michigan” award, honoring the company’s contributions to the clean energy industry.
As he presented the award, the governor said the company is an example of the innovative spirit that Michigan needs to recapture, and a reminder that individuals, not government, spark the ideas that lead to job growth.
“Energetx Composites embodies the entrepreneurial spirit that once made Michigan the leader in job growth,” Snyder said in a release. “Our reinvention as a state is dependent on recapturing this spirit by creating an environment where small businesses like this are able to grow without being stifled by overly burdensome regulations or a job-killing business tax.”
"Energetx Composites is uniquely positioned to provide precision engineering and world class manufacturing capacity in an optimal geographic location to effectively supply advanced composites for the growing wind energy industry in Michigan, the Great Lakes and internationally," Energetx Composites Principal David Slikkers said in a statement to the media. "We remain very impressed with the state of Michigan's commitment to wind energy manufacturing for the state. The fine professionals at MEDC, DELEG and the governor's office are providing outstanding support during a remarkable time in our state."
Roger Cope of MAG Automation Systems — the global machine tool industry leader with a wind-energy component manufacturing venture in Michigan — pleaded with Snyder to get out and let the world know about the activities and capabilities Michigan has in the clean energy sector. He said Michigan still is seen as part of the “Rust Belt” from East and West Coast alternative energy leaders.
“Today's not the right date yet,” Snyder told the business group of his unwillingness to do national media interviews on Michigan's “comeback.” Michigan must accomplish a good portion of its turn-around before it can toot its own horn, he suggested.
“Shared sacrifice” is a consistent Snyder mantra. “I call it relentless positive action, because it’s not just doing a little bit,” he says. “We just need to keep pushing hard on the positive side.”
“Today's not the right date yet,” Snyder told the business group of his unwillingness to do national media interviews on Michigan's “comeback.” Michigan must accomplish a good portion of its turn-around before it can toot its own horn, he suggested.
Don’t expect to see a lot of newspapers and Web sites with this headline: “Big Government Bailout Worked.” But it would be entirely accurate.
The actual headlines make the point. “Demand for fuel-efficient cars helps GM to $3.2 billion profit,” declared The Post. “GM Reports Earnings Tripled in First Quarter, as Revenue Jumped 15%,” reported the New York Times.
Far too little attention has been paid to the success of the government’s rescue of the Detroit-based auto companies, and almost no attention has been paid to how completely and utterly wrong bailout opponents were when they insisted it was doomed to failure.
General Motors plans to kick off a hiring blitz today that will add or preserve about 4,200 jobs in eight states, including up to 2,000 in metro Detroit, people familiar with the planning said.
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In Detroit, GM plans to add a bulk of the new jobs at its Chevrolet Volt factory, which straddles a border with Hamtramck. Interest in the Volt extended-range electric car and the arrival of $4-a-gallon gasoline have prompted GM to move up the planned hire date for new workers at the plant, likely to late summer. GM had planned to double the number of workers, which currently numbers about 1,000. Now, it may add as many as 2,000.
GM also plans to expand its work force at the Warren Tech Center and a variety of U.S.powertrain plants. The new hires will include a couple hundred white-collar workers. GM will add many of the jobs in 2012, with some hiring to start this year.
Take that, all you naysayers who predicted the Volt would flop!
“There is no greater evidence of the positive effect of the historic federal intervention than large new investments in major U.S. automotive facilities on the part of the rescued firms such as General Motors,” said Sean McAlinden, executive vice president of research and chief economist at the Center for Automotive Research.
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CAR estimates that this investment over the next year will in total support more than 28,000 jobs in the U.S. economy, including 4,083 people directly employed by GM; 8,638 indirect jobs, such as goods and service suppliers and their suppliers, and 15,492 consumer expenditure-induced jobs, which result from the direct and indirect employees spending their earnings.
The 28,213 jobs earn a total of $1.65 billion in salary, contribute almost $2.9 billion to GDP, pay $169 million in income tax, and contribute $362 million in transfer payments, such as Social Security, Medicaid, Unemployment, and others.
It’s axiomatic that government isn’t perfect and that we’re better off having a large private sector. It ought to be axiomatic that the private market isn’t perfect, either, and that we need government to step in when the market fails. The success of the auto bailout and the failure of the Republicans’ anti-Medicare campaign both teach the same lesson: The era of anti-government extremism is ending.