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The Michigan Messenger going forward

By Staff Report | 11.16.11

I am writing today to announce the closure of the Michigan Messenger. After four years of operation in Michigan, the board of the American Independent News Network, has decided to shift publication of its news into a single site, The American Independent at Americanindependent.com. This is part of a shift in strategy, towards new forms [...]

Colorado-based abstinence program provided false and misleading information to Michigan students

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By Todd A. Heywood | 11.16.11

An abstinence-only presentation provided to numerous school districts in Calhoun and Eaton Counties in October of this year provided false and misleading information to students about HIV, experts allege.

Class action lawsuit filed against MERS over unpaid taxes

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By Todd A. Heywood | 11.15.11

Two county registers of deeds filed a class action lawsuit Monday on behalf of Michigan’s 83 counties alleging that the Mortgage Electronic Registration Services owes millions of dollars in property title transfer taxes.

Schuette fights important mercury regulations

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By Eartha Jane Melzer | 11.14.11

Despite evidence of the impact of mercury on children and public health, Michigan Attorney General Bill Schuette last month joined with 24 other state attorneys general in filing a lawsuit to scuttle new EPA regulations that would reduce mercury emissions from power plants.

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Report: MEDC exec is overpaid

By Eartha Jane Melzer | 01.12.11 | 2:46 pm

A new report on problems with privatized state economic development agencies singles out the Michigan Economic Development Corporation for excessive executive bonuses as well as questionable subsidy awards and resistance to accountability.

The report by Good Jobs First notes that Michigan is one of only seven states that allow private entities to control their business recruitment functions.

When the Michigan Economic Development Corporation was created in 1999 through a reorganization of the Michigan Jobs Commission, the head of the jobs commission, Doug Rothwell, was tapped by Gov. John Engler to head the new entity. Crain’s Detroit Business wrote at the time: “Widespread speculation surfaced last week in Lansing that the new structure is, in part, a way to retain Rothwell and pay him more than the $108,000 he makes now as an unclassified state employee.” Rothwell denied there was a connection, but he apparently had no objection when the MEDC board later raised his base salary to $189,600 – well above that of the governor – and then gave him a $49,000 bonus.

Doug Rothwell directed Gov. Snyder’s transition into office and was appointed chairman of MEDC.

Snyder’s pick for president and CEO of MEDC, Mike Finney, will receive an annual salary of $250,000.

The report recommends instituting the following safeguards for Public-Private Partnerships like MEDC:

Maximum transparency in decision-making and finances, including adherence to state open records rules;
For PPPs that oversee subsidy awards, maximum transparency concerning recipients of those awards and their performance;
Strict conflict of interest rules regarding staff members and boards of directors;
Strict rules barring favoritism and “pay to play” in connection with companies doing business with the PPP;
Appointment of a public ombudsperson to monitor PPP activities and respond to outside complaints; and
Respect for the rights of employees to organize a union (or to transfer a representation agreement that was in place when the entity was a government agency).

The report also recommends that state economic development groups include labor and non-profit representatives and that the governor not have power to name all of the entities directors.

Comments

  • Anonymous

    Oh but, teachers get paid too much. Public employees need to sacrifice – give up their pensions and pay more for health care. Snyder, no different from all the rest.

  • http://twitter.com/johntaratuta John Taratuta

    The salaries of the so-called economic developers in Michigan, running between $200,000 to $400,000 plus, need to be reviewed (and halved: if you can’t live on $200,000 then $300,000 will prove to be challenging as well). Something tells me paying someone in excess of $1 MILLION over four years, means we should expect something out of the deal, too. So far, little or nothing has been delivered.

    Hmmmm, the state college Presidents seem not to have any shame, either.

    The number of worker bees in Michigan is shrinking day by day. We still lead the nation in net “outbound” moves. Oddly enough, while salaries continue to shrink in the private sector, it’s a bonanza if you have a position and a title in the public sector.

    I’m just saying…