Governor Snyder has said he wants to do away with the complex, "job-killing" Michigan Business Tax, and replace it with a more simplified flat tax for businesses in the state.

Ann Arbor-based Borders Books may be able to stave off bankruptcy, thanks to a new financing deal announced this week .     Professional writers are waiting to see what the company’s next chapter will bring. 

(photo by Steve Carmody/Michigan Radio)

A new Michigan State University study finds more than one in five Michigan nursing home patients is neglected. 

 The study examined cases of physical neglect, in which the caregiver failed or refused to meet a resident’s needs of food, water, personal hygiene, clothing, medicine, shelter, personal safety or comfort.

Some republicans in the Michigan legislature are beginning their push for a repeal of the state's Earned Income Tax Credit (EITC).

It's a credit that bell-weather conservatives, like Gerald Ford and Ronald Reagan, have supported on the federal level.

Courtesy Creative Commons

Borders Books has been struggling to survive. 

Yesterday, the Ann Arbor bookseller announced it had lined up $550 million dollars in financing to stay afloat.

The deal is contingent on Borders reaching a deal with book publishers. It's been reported that the company set a February 1st deadline for the publishers to agree to take up to a third of the booksellers debt. A Borders spokeswoman would only say the company has not stated a specific date. 

The deal with GE Capital announced Thursday could help. Or it may not. The Wall Street Journal is reporting that Borders is still looking for money to finance the company through a possible bankruptcy filing.

Photo courtesy of

Fifty-nine percent of Michigan voters surveyed in a new poll say they have a favorable opinion of Governor Rick Snyder. The new poll by Lansing-based EPIC-MRA shows 8 percent of Michigan voters surveyed had an unfavorable opinion. Thirty-three percent were undecided.

Kate.Gardner / Flickr

John Goss, the Obama administration's so-called 'Asian carp czar,' was in Traverse City yesterday to talk about how the federal government is trying to keep Asian carp out of the Great Lakes. Goss said the government is moving as fast as possible to keep the species out of the Lakes. There's concern that if the carp made their way into the Great Lakes it would devastate the waters' ecosystem.

Cedar Bend Drive / Flickr

Republican state Representative Wayne Schmidt of Traverse City introduced a bill yesterday in the state House that would transfer $20 million into the state's 'Pure Michigan' tourism ad campaign. That would be an increase from the $10 million that's currently planned.

Library of Congress

The idea of an Earned Income Tax Credit, giving people who have low-income jobs a bit of a tax break, has been around for a while.  In 1975, a Michigan Republican, Gerald Ford, signed the first federal credit into law while he was president.

Tooshed4 / Flickr

Ford Motor Company announced this morning that it had its best annual performance in more than a decade. Ford earned $6.6 billion last year as sales jumped by 20 percent. Revenues rose 3 percent to almost $121 billion.

UPDATED:  11:40 a.m.  Ford CEO Alan Mulally says salaried and hourly workers will share in the good news in the form of profit-sharing checks.  Hourly workers will get average payments of $5,000.

"To be able to share the wonderful work, the wonderful success of this, with everybody's that's worked on quality, on fuel efficiency, on safety -- it's a tremendous day for all of us," says Mulally.

Ford made $7.2 billion dollars in 1999, but it sold nearly twice the number of vehicles to get that result compared to 2010.  Mulally says the company is benefiting from what he calls a "home improvement loan" of $23-billion, taken out in 2006, that financed the company's effort to slash operating costs and improve quality.

"You think about back then (1999) and now, this is a complete transformation of Ford," he says.

Mulally says the biggest challenge this year is not specifically a Ford problem.  He says the U.S. needs to exercise sound fiscal policy so the economy continues to recover.

Ford Motor Company is forecasting higher profits in 2011 than 2010. 

The company's stock dropped Friday morning, however, as investors reacted to Ford's fourth quarter results.  The company's profits were lower than expected because of costs associated with restructuring some debt.

Mulally says the company has made swift progress in paying off that "home improvement loan."  Debt was reduced 43% in 2010.

JPowers65 / Flickr

Four former Michigan governors have come out in support of Governor Rick Snyder's plan to build a new bridge from Detroit to Windsor, Ontario. The Snyder administration put out a news release yesterday saying Democrat Jennifer Granholm, Republican John Engler, Democrat James Blanchard, and Republican William Milliken all support the Detroit River International Crossing (DRIC).

Photo courtesy of

Governor Rick Snyder will address the Michigan Press Association later today. As the Associated Press reports, the Republican governor will share his roadmap for reinventing the state.

The AP explains:

The MPA traditionally invites the sitting governor to speak to its annual gathering shortly after the governor gives the annual State of the State address. The meeting will take place at the Detroit Marriott in the Renaissance Center. The conference also includes a session with the GOP and Democratic legislative leaders...

Tomorrow, Governor Snyder will be in Grand Rapids as state Republicans elect a new party chairman.

The Cost of Creativity - A Radio Documentary

Jan 28, 2011

The Cost of Creativity

Part 1

Part 2

Part 3

Thanks to the following Michigan musicians, whose songs are featured in the documentary:

Ben Benjamin, Luke Winslow-King, Midwest Product, and The Red Sea Pedestrians.

Artists at Work (video)

Jan 28, 2011

Lindsey Smith / Michigan Radio

Public transportation around Grand Rapids could get a huge boost if voters in the city and 5 suburbs approve a mileage increase set to appear on the ballot in May. If the levy passes, The Rapid CEO Peter Varga says it would cost the owner of a $100,000 home $76 a year.

Lindsey Smith / Michigan Radio

People can report vandalism, petty theft, and other crimes that are not emergencies or incidents where the victim doesn’t know who did it to the Grand Rapids Police online.

Sarah Hulett / Michigan Radio

Detroit Public Schools officials have announced their biggest wave of outsourcing yet.

The district will eliminate more than 800 custodial and engineering jobs next month, and contract the work out to the facilities management giant Sodexo. Sodexo, in turn, will subcontract to seven local business.

Proposals for different ways the state delivers payments to local governments for services are bubbling up at the state Capitol.

A bill in the state Senate would distribute revenue sharing payments to cities, townships and villages based on population.

Peter Martorano / Flickr

The second round of meetings in a project to re-imagine Detroit starts tonight.

A Michigan Congressman says U.S. automakers need more help to sell large numbers of electric and hybrid vehicles.

The Obama administration has set a goal of one million plug-in hybrid vehicles on the road by 2015.

There’s already a federal tax credit of $7,500 to help defray the cost of buying a hybrid or electric car.   But there’s a cap on how many of the credits are available to each automaker. 

William Warby / Flickr

Update January 27, 4:18 p.m.:


Detroit Mayor Dave Bing says it’s “ludicrous” to suggest that the city give up control of its massive water system.

Legislation at the state Capitol, and a motion filed this week in federal court, would do just that.

Mayor Bing says he plans to examine the system’s problems, and he plans to fix them.

"I’m not here to defend past practices. I’m not here to defend the management, on a historical basis. My job here today is to look forward."

Bing says people think Detroit is in a weak position, and they’re trying to take advantage of that.


Update January 27th, 8:24 a.m.:

Wayne County Executive Robert A. Ficano has issued the following statement regarding the current situation with the DWSB:

"Today, we met as regional leaders to discuss Mayor Bing's plans for DWSD. It was a very productive meeting, containing very open and pointed discussion of the serious challenges within the department.  I am disappointed in the filing by the Oakland County Drain Commissioner, as this action contradicts the spirit of the discussion earlier today.

I believe in giving the Mayor an opportunity to explore the current operation, correct the mistakes and practices by the previous administration, and allow him to move forward and put in place accountable, transparent operation.

I believe now is not the time to be divisive, but to work cooperatively."

January 26th, 6:10 p.m.:

Oakland County is asking a federal judge to create a regional committee to oversee Detroit’s massive water system. It’s the latest development in a long-running dispute between the city and the suburbs over the scandal-plagued department.

John McCullough is the Oakland County Water Resources Commissioner. He says some $200 million are expected to be spent upgrading the system in the coming year.

"And since 60 percent of these corrections are going to be paid for by suburban customers, it really provides an effective way of the entire region to weigh in as to the proposed solutions and how those costs will be addressed."

The Detroit Water and Sewerage Department has been under federal oversight since the late 1970s because of Clean Water Act violations.

Late last year,the Justice Department identified 13 scams in which water department contracts worth tens of millions of dollars were allegedly steered to a friend of Detroit’s former mayor, Kwame Kilpatrick.

Legislation to repeal the Michigan law that requires every item on store shelves to carry a price tag has been introduced in the state House.

Governor Rick Snyder called for an end to the 35-year-old item-pricing law last week in his State of the State address.

He says the law is outdated, and repealing it would send a message that Michigan is a business-friendly state.

Guns in Church

Jan 27, 2011

Newly elected State Senator Mike Green, who comes from beet-growing country in Michigan’s thumb, seems to be a good and decent man. He was a tool and die maker for General Motors for thirty years, and operated a family farm most of that time.

He’s had the same wife for forty-three years; raised five kids and has more than enough grandchildren for two baseball teams.

The senator also owns a business that would make Abraham Lincoln proud -- Green’s Log Rails and Custom Log Furniture. Like Honest Abe, he is a Republican, and lacks college education. But he is very enthusiastic about guns.

So much so, that he has introduced legislation to allow people with concealed weapons permits to take guns everywhere -- churches, synagogues, bars, Joe Louis Arena. He thinks banning guns anywhere is outrageous. “Why do you need to give your Constitutional right away when you go to some places?“ he asks.

There are a number of ways to answer that, but the easiest and simplest is that there is no Constitutional right to take a weapon anywhere. That’s not a left-wing anti-gun point of view.

General Motors is saying thanks but no thanks to more federal loans.  The Detroit automaker is withdrawing its application for more than 14-billion dollars in low-cost loans from the Department of Energy.   

Many car companies including Ford have received DOE loans, which are intended to help auto companies revamp factories to build more fuel-efficient cars and trucks.  GM applied for loans through the program shortly after emerging from bankruptcy.  But the automaker says its financial situation has improved since then. 

Gerry Meyers is a professor at the University of Michigan Ross School of Business. He's also a former Chairman of American Motors Corporation.  He says taking the loans would have given GM more debt.   And the automaker told prospective IPO investors late last year that it would avoid going deeply into debt.

It’s quite clear that they’re trying to clean up that balance sheet and also get the government out of the business, so it’s just another step in that direction and I think it’s wise.

Meyers says the next step to GM’s recovery is to stop the revolving door at the top executive level.  The company has had four CEOs in two years.   

user santoshkrishnan / wikimedia commons

The new GM has been turning a corner of late. It posted three profitable quarters last year:

  • $865 million in the first quarter
  • $1.6 billion in the second quarter
  • $2.1 billion in the third quarter

(still waiting on fourth quarter numbers)

Now, in another sign of financial health, the auto company says it will no longer seek government loans to help it modernize factories:

From the Associated Press:

No Michigan housing markets rank among the 25 worst for home foreclosures in a new national survey.    But, that may change by the end of this year.  

Callum Black / Flickr

The North Carolina based giant Duke Energy wants to build more than a hundred 500 foot tall turbines in rural Benzie and Manistee counties.  Bob Allen reports this proposed wind farm is causing divisions in communities up north.

Michigan officials have identified parts of these two counties as having the 2nd highest wind potential in the state. 

Alan O’Shea has been in the renewable energy business for the past thirty years. 

“We don’t have to wait for Michigan to heal. This project can heal northern Michigan. I mean there are people, workers that are here looking for jobs.”

But there also are people in the area opposed to this project.

Wally G / Flickr

The head of the government's bailout program says the U.S. Treasury Department hopes to sell its remaining shares of General Motors stock over the next two years.

The Associated Press reports:

Timothy Massad, the senior Treasury official managing the government bailout fund, told a congressional hearing that there is now a path forward for Treasury to sell its remaining shares in GM over the next two years if market conditions permit. The Treasury Department trimmed its stake in GM to 26.5 percent of the company, down from 61 percent, when it sold $23.1 billion of GM stock at an initial public offering in November.

Matthileo / Flickr

Republican state Representative Dave Agema introduced a bill yesterday that would amend the state's constitution to create a part-time legislature, rather than the full-time legislature that Michigan currently has.

The Associated Press calls it a, "long-shot" as efforts to make the legislature part-time have failed in the past. Michigan Radio's Political Analyst Jack Lessenberry agrees. He says he doesn't think the bill will go anywhere.

The AP reports:

Advocates say it would save money and force lawmakers to be more efficient when conducting business at the state Capitol.

Peter Luke of explains:

Agema’s amendment would limit the Legislature, which convenes on the second Wednesday of every January, to 150 consecutive days of session. Budget bills would have to be completed by June 15; it’s now Sept. 30. Extra days could be scheduled, but only for extraordinary reasons that aren’t specified.

Kate.Gardner / Flickr

Want to hear how the federal government plans to keep Asian carp out of the Great Lakes? Well, now's the time. John Goss, the Obama administration's point man in the fight against Asian carp, will be part of a federal delegation visiting Traverse City today for back-to-back public meetings.

The Associated Press reports:

The officials will outline their strategy and take comments on a long-range study of how to prevent the carp and other invasive species from migrating between the Great Lakes and Mississippi River basins.

Environmentalists, Michigan and four other Great Lakes states want to sever the man-made link between the two aquatic systems. The Army Corps of Engineers is conducting the study and says that's one option.

Activists also say the study's planned completion date of 2015 isn't soon enough.

There's concern that if the Asian carp make their way into the Great Lakes that they could wreak havoc on the lakes' eco-systems.