The Associated Press

LANSING, Mich. (AP) - The head of Michigan's Unemployment Insurance Agency is defending his agency's decision to not attend some insurance fraud hearings in light of staffing cuts.

Steve Arwood was called to testify in front of the Senate Appropriations Subcommittee on Licensing and Regulatory Affairs Thursday.

Arwood was asked to address a report in the Detroit Free Press on Sunday that said the agency instructed officials to only show up at administrative fraud hearings if the amount is at least $15,000.

Arwood says last October the agency was forced to cut staff from 1,200 to 800 employees, including 20 people whose primary responsibility was to attend hearings.

In 2011, lawmakers passed legislation to reduce the threshold for a felony charge for unemployment insurance fraud from $25,000 to $3,500.

FLINT, Mich. (AP) - An insurance company says more than a dozen people operated an arson-for-profit ring in Flint that collected more than $2 million over two decades.

The Flint Journal reports State Farm Insurance says in a lawsuit in Detroit federal court that fires purposely were started at homes owned or rented by members of the group. The insurer says insurance claims were filed to receive thousands of dollars in insurance payouts.

No criminal charges have been filed against any of those named the case.

The case has sparked counter lawsuits by some of the defendants. Six of those named in the State Farm lawsuit have settled, including Flint-based public adjustment company Allied and Associates and Gary Lappin, its president. He calls the case "witch hunt."

State Farm isn't discussing the case.

LANSING, Mich. (AP) - Members of Michigan's insurance and medical industries as well as some rider groups are calling on lawmakers and Gov. Rick Snyder to reinstate the state's mandatory motorcycle helmet law.

The group met at the Capitol Wednesday. They say modifying the law to allow people over the age of 21 to ride helmetless is costing the state lives.

A recent study by a University of Michigan researcher says 26 fewer people would have died last year if all riders wore helmets.

LANSING, Mich. (AP) - Majority Republicans in the Michigan Legislature are split over spending plans for K-12 schools, public universities and community colleges.

Budgets that moved forward Wednesday include a difference over punishing public employers for signing long contracts before the right-to-work law took effect.

Other rifts include how much to boost preschool funding for at-risk 4-year-olds and whether to give K-12 schools a bigger boost in their per-pupil funding or more for employee retirement costs.

The House Appropriations Committee approved a $15 billion education budget that restricts or cuts funding for the University of Michigan and other publicly funded entities that agreed to new contracts with employee unions before March 28. Workers must continue paying union dues or fees until the contracts end.

Senate budget subcommittees are passing budgets without right-to-work penalties.

GRAND RAPIDS, Mich. (AP) - A Grand Rapids hospital has broken ground on a $54 million expansion and renovation project and the establishment of a cancer program named after former first lady Betty Ford.

The Mary Free Bed Rehabilitation Hospital announced plans Tuesday to double space for patients. The project also includes renovating three buildings and adding about 300 jobs in nursing, therapy and other specialties.

Ford's daughter Susan Ford Bales announced the creation of The Betty Bloomer Ford Cancer Rehabilitation Program in honor of her mother and grandmother, Hortense Neahr Bloomer. Both women were active supporters of the hospital and Betty Ford brought such previously taboo subjects as breast cancer into the public arena by candidly discussing her battle with it.

Mary Free Bed is a nonprofit hospital providing rehabilitation for children and adults.

LANSING, Mich. (AP) - Criminal justice agencies across Michigan are getting $1.2 million in federal grants to strengthen anti-drug and crime-fighting efforts.

The funding was announced Tuesday by Gov. Rick Snyder and the Michigan State Police. The grants come from American Recovery and Reinvestment Act of 2009 Edward Byrne Memorial Justice Assistance Grant Program and are focused on technology enhancements.

Agencies receiving funding have until July 31 to spend the money. A list of awards is posted online.

DETROIT (AP) - Two members of a Michigan-based militia acquitted last year of plotting to overthrow the U.S. government have filed a federal lawsuit against three FBI agents and a state police trooper.

Michael Meeks of Manchester and Thomas Piatek of Whiting, Ind., say their constitutional rights were violated during raids on their homes in 2010.

The two Hutaree members as well as three members of Meeks' family filed the lawsuit late last month in U.S. District Court in Detroit.

An impressive run through the NCAA tournament came up short for the Michigan Wolverines last night in Atlanta. 

After running up a double digit lead in the first half, the Wolverines succumbed to Louisville’s pressure defense.   The Cardinals kept up their hot shooting on offense and did just enough to put away Michigan down the stretch.

The final score: Louisville 82-Michigan 76. 

The Wolverines did have some standout performances.

AP player of the year Guard Trey Burke had 24 points for Michigan (31-8).  Little-used freshman Spike Albrecht added 17 points.

LANSING, Mich. (AP) - Gov. Rick Snyder won't say whether a Michigan member of the Republican National Committee should resign for posting an article critical of gay people on Facebook.

The Republican governor told reporters Monday that he's "not going to get in the middle of all that." Snyder adds that discrimination of any kind is inappropriate and "it's important we stand up for all people."

LANSING, Mich. (AP) - Minority Democrats in the Michigan House say pension income should no longer be taxed and other Republican-backed tax changes from 2011 should be repealed.

Democrats included the proposals in a list of budget priorities unveiled Monday in Lansing. House Democrats say their plan puts "families first," but it faces an uphill climb because Republicans control the Legislature.

LANSING, Mich. (AP) - A lawsuit seeking to block the appointment of Detroit emergency manager Kevyn Orr has been dismissed.

Activist Robert Davis said Monday that the lawsuit became "moot" when a Lansing Circuit Court judge refused last month to hold a hearing before Orr's hiring by the state's Emergency Loan Board.

Davis says both parties stipulated that the suit be dismissed "based on a pending case" before another judge to invalidate Orr's appointment.

DETROIT (AP) - Marathon Petroleum Corp. has bought two-thirds of the homes in an area of southwest Detroit where the oil company is carrying out a $2.2 billion expansion.

The company announced in November 2011 that it wanted to create a buffer area between its growing refinery operation and residential areas.

The Detroit News reported Sunday that Marathon has bought 205 homes so far. The company began with a list of 296 homeowners, and 265 of them agreed to discuss terms for a possible sale.

The company made offers to 258 of them.

Michigan is headed to Monday’s NCAA men’s basketball national championship.

The Michigan Wolverines survived a late surge by the Syracuse Orange to win Saturday night’s national semi-final .   The final score was 61 to 56. 

DETROIT (AP) - Local religious leaders will join together Sunday for the premiere of a musical liturgy dedicated to Holocaust Remembrance Day.

Daniel Gross wrote the piece in tribute to his late grandmother, Masha Gross, the only member of her immediate family to survive the Holocaust.

The composition is called "I Believe: A Shoah Requiem." It features the voices of a Holocaust survivor and a range of religious leaders and choirs.

It'll be performed at Orchestra Hall in Detroit on Sunday.

FLINT, Mich. (AP) - U.S. Rep. Dan Kildee has returned from a trip to Afghanistan, the freshman's first official overseas travel as a member of Congress.

The Flint Township Democrat says the country is headed in the right direction with its own forces stepping up to provide security.

Kildee traveled to Afghanistan as part of a three-member delegation. He got back on Saturday.