Analysis: Eight ways Gretchen Whitmer vows to improve Michigan

New Democratic Gov. Gretchen Whitmer delivered her first State of the State speech before a joint session of the state House and Senate Tuesday evening. (Screenshot from state of Michigan livestream)

March 5: Six big proposals in Gretchen Whitmer’s first Michigan budget
Update: Michigan Republicans to Gov. Gretchen Whitmer: Where’s the cash?

LANSING — Failing schools. Crumbling roads. Water unfit to drink.

Michigan Democratic Gov. Gretchen Whitmer painted a picture of a broken state that must be willing to finally invest in the basics during her first State of the State speech Tuesday evening.

“While it’s hard to imagine that things could get worse, that’s precisely what will happen if we don’t act boldly and swiftly,” Whitmer said of the state’s infrastructure failures — one of two crises, the other being education, outlined during a nearly hour-long speech. The address was lauded by Democrats for addressing the state’s pressing issues, and criticized by Republicans for lacking funding details.

Addressing a joint session of the state House and Senate, Whitmer laid out her priorities — among them, improving schools, protecting drinking water and fixing the state’s roads and bridges. Below, Bridge Magazine summarizes eight issues the governor addressed Tuesday, and how her remarks were received by Republicans and other skeptics.

Whitmer’s remarks were light on policy details — most notably, where to find the billions in additional dollars that experts say are needed for safe roads and competitive public schools — though she has promised more specifics when she presents her first budget March 5.

Whether Whitmer can reach her goals relies largely on how well she can work with the Republicans at the helm of the state Legislature, Senate Majority Leader Mike Shirkey and House Speaker Lee Chatfield, who sat impassively behind Whitmer during her remarks.

The speech was rife with appeals for cooperation alongside a few digs at the past eight years of total Republican control in Lansing. Whitmer at one point lampooned a spending bill passed in the 11th hour of the lame-duck session in December and said Republicans played “a shell game” with the state budget. But her speech was also  replete with calls for cooperation and good will.

Related: Medicaid work rules another test for Gov. Gretchen Whitmer and Republicans

“It is important for us to remember,” Whitmer said, “the enemy is not the person across the aisle. The enemy is apathy. The enemy is extreme partisanship. The enemy is self-interest.”

Shirkey and Chatfield noted Tuesday evening that Whitmer’s address carried the spirit of bipartisanship that all three leaders have expressed early in the new administration.

Roads

The facts: Surprise: Michigan’s roads are in terrible shape. And if more money isn’t pumped into fixing them, experts agree they will continue to get worse. Paul Ajegba, the new director of the Michigan Department of Transportation, estimated $1.5 billion more is needed every year through 2031 for 90 percent of state-maintained roads to be considered in good and fair condition.

Related: Michigan roads are a big mess. Here are eight big ideas to fix them.

What Whitmer said: Whitmer emphasized the human cost of the state’s crumbling infrastructure during her speech, citing dangerous accidents and the high costs of repairs. She didn’t specify dollar amounts, but hinted that her budget will address the road funding crisis head on. “Incremental fund shifts, like we’ve seen in recent years, they just won’t fix the problem,” she said. “They only slow our decline.”

What Republicans say: Both Republican leaders talked about roads in interviews with Bridge earlier this year. Shirkey said he wants to wait until the $1.2 billion legislative road-funding package passed in 2015 is fully phased in by the end of 2021 before considering other options for road funding. Chatfield said he wants to address the “root problem” of how roads are funded, namely dedicating the state’s 6 percent sales tax collected on fuel sales to roads (currently, it goes mostly to K-12 schools), but has not specifically identified how he would make up the lost revenue for schools.

“We haven’t defined yet how much money we’re going to need for roads and for all of infrastructure. We have not yet heard the best ideas,” Shirkey said Tuesday. “Often times, the easiest solution is not the best solution, and seldom is the best solution the most popular.”

Education

The facts: Michigan’s K-12 schools are in the bottom third in the nation for student achievement. In fact, the state’s education system is ranking last in the Midwest in every category measured by the National Assessment for Educational Progress, including fourth-grade reading and math, eighth-grade math and the achievement gap between low- and high-income students.

Michigan is also in the bottom half of the nation in the percentage of adult residents with a college degree. The barriers to entry for low-income students have been climbing: Tuition at the state’s universities has steadily risen over time, and spending on needs-based financial aid has been dropping, according to reports from the Michigan League for Public Policy.

March 4, 2019: Gov. Whitmer: Boost schools by $507 million, with more for neediest students

What Whitmer said: Whitmer cited many of those statistics, and said the culprit is slow growth in education spending over the last 25 years, compared with other states.

“Let’s be very clear: This is not happening because our kids are less talented. This is not happening because our kids are less motivated. It’s not happening because our educators are less dedicated,” Whitmer said. “It’s happening because generations of leadership have failed them.”

The Michigan Education Association, the American Federation of Teachers in Michigan, the School Finance Research Collaborative and other education groups hailed Whitmer’s remarks on Tuesday, particularly her call for more K-12 funding.

“None of this is going to be easy, especially when it comes to addressing the systematic underfunding of public education,” MEA President Paula Herbart said in a statement. “Whether it’s the School Finance Research Collaborative’s adequacy study or the recent report from MSU about Michigan’s dismal record of education funding increases over the past 25 years, the research is clear that this isn’t a problem that started yesterday — or will be fixed in full tomorrow.”

What business leaders say: Rich Studley, president and CEO of the Michigan Chamber of Commerce, told Bridge Tuesday the business community is aligned with Whitmer on the need to improve Michigan’s K-12 education outcomes, to get more people ready for work.

But, he added, the state’s poor academic performance is not a result of a lack of funding.

“Our view, after careful study, is that the problem is not a lack of government spending,” Studley said. “The problem is a poor return on investment. So this governor, I think, will have the ability to speak to the education community and lift them up, but also encourage them to be more efficient and more effective and to deliver better results at the local level.”

Feb. 27, 2019: Seven things to know about Gov. Gretchen Whitmer’s debt-free college plan

Workforce development

The facts: Michigan has plenty of jobs, but not enough people with the necessary skills to fill them, according to business groups. The strain is particularly acute in rural areas, which sometimes compete with urban areas for the same workers. Despite the demand, Michigan’s adult labor force participation is significantly lower than it was before the Great Recession. Improving the number of skilled trades workers was also a major goal for Whitmer’s predecessor, Republican Gov. Rick Snyder.

What Whitmer said: In some of her most concrete proposals of the evening, Whitmer outlined three programs she will push for to increase postsecondary educational attainment: A program for training mid-career adults in in-demand skills; a guarantee of two years of debt-free community college, and two years of tuition assistance for those who want to attend four-year universities.

The proposals will require legislative approval, but Whitmer said they’re necessary to meet an “aggressive” goal of increasing the number of Michigan residents who have a postsecondary credential or degree to 60 percent by 2030. That figure was 43.3 percent in 2014, with Michigan in the bottom half of states on that measure.

“We’ve got to start thinking differently about what it takes to succeed,” she said. “We used to think about careers in terms of ladders. There was one way up. But today it’s more like rock-climbing. There are many paths to a good life, and we need to help people find the one that is right for them.”

What Republicans say: “I don’t know (from) where the governor intends to pull the revenue to give away free community college and free two-year university education to folks,” Sen. Tom Barrett, R-Charlotte, told reporters after the address. "I’m not sure where she intends to pull that, but it’s going to have to come from somewhere else.”

Water

The facts: The state has found more than 600 places around Michigan with PFAS — an industrial chemical linked to serious health risks — in their water. Experts say the state ignored evidence for years of the chemical’s dangers, only to kick off their response in 2017.

The state has officially declared Flint’s drinking water within government limits to drink and stopped providing bottled water, but residents there don’t trust their assurances. The future of relief efforts in the city are uncertain. Until now, Whitmer has said Flint residents should have access to bottled water distribution until all lead lines are replaced, but has not promised to resume state funding for the supplies.

What Whitmer said: Whitmer mentioned both major drinking water issues Tuesday, but didn’t offer specific proposals. Instead, she touted her announcement last week that she is changing the state’s Department of Environmental Quality to the Department of Environment, Great Lakes and Energy, with a greater focus on water quality and ensuring that vulnerable communities no longer bear the brunt of environmental contamination. The Republican legislature has strongly pushed back on Whitmer’s effort to erase industry-friendly boards created by Republicans last term intended to act as a check on state regulators.

“This problem may not have commanded as much national attention as the crisis in Flint, but it is just as urgent,” Whitmer said of PFAS. “It is time to step up our efforts to protect the health and safety of all Michiganders.”

What Republicans say: The state House last week voted to block Whitmer’s order because it also would eliminate boards that the Republican-majority Legislature adopted last year.

“What the House did recently was simply uphold previously passed legislation,” Chatfield told reporters Tuesday. “Though she acted within her constitutional limits of exercising some legislative authority, the House acted, too, and it was simply the first step in negotiations. And they are conversations I look forward to having.”

Auto insurance

The facts: Michiganders pay the highest rates in the nation for auto insurance. The pain is especially acute in Detroit, where residents pay thousands of dollars more per year on average than the rest of the state. That’s in part because Michiganders are required to pay for no-fault insurance that includes unlimited lifetime medical benefits, meaning auto insurance covers all the medical costs of any injury related to a car accident as long as it persists. There are also complaints about soaring medical charges for people injured in accidents that critics say need to be reined in. Multiple attempts to change the system have stalled in the state Legislature in previous years.

What Whitmer said: Whitmer touched briefly on Republicans’ top priority this year, promising to work with them on the issue. But it came with a warning:

“I am eager to engage with any and all people of good faith about ideas and priorities, including your ideas on bringing down car insurance rates,” she said. “I am committed to this state and to solving problems. Therefore, I will reject anything presented as a solution that doesn’t really solve a problem — or creates a new one.”

Her commitment to talking it over brought a standing ovation from Republicans Shirkey and Chatfield. “Well,” Whitmer teased them, “I finally got you up!”

What Republicans say: Both Shirkey and Chatfield staked out no-fault reform as a top priority for this legislative session. Shirkey has proposed offering tiers of coverage for drivers to choose from. Chatfield has not said specifically how he’d like to change the system, but told Bridge Michiganders should “have the opportunity to select what level of coverage they would like.”

“My number one concern is fixing the damn car insurance prices, so I’m glad she spoke about it,” said Rep. Beau LaFave, R-Iron Mountain. He said he was disappointed to see it play second fiddle to roads. “Obviously we need to fix both, but if we’re going to fix something first, it should be the lowest-hanging fruit. Save the average family a $1,000 a year on car insurance.”

Health care

The facts: In June, Snyder signed into law new work requirements for recipients of the state’s Medicaid expansion program, known as the Healthy Michigan Plan. The law requires Healthy Michigan recipients who don’t otherwise qualify for an exemption to prove they worked an average of 80 hours per month at a job, or pursue education, job training or select other activities.

While proponents say it will encourage people to enter the workforce, critics say Medicaid was never designed to be a workforce program and are concerned it could cause thousands of people to lose health benefits, as has happened in Arkansas, which has a similar law. Last week, Whitmer said in a letter to the federal Centers for Medicare & Medicaid Services that she planned to ask the Legislature to revise the law.

What Whitmer said: Whitmer pledged to protect Healthy Michigan, citing the letter. She also offered a shout out to new Attorney General Dana Nessel, a fellow Democrat, for joining Michigan in lawsuits to protect the ACA law at the federal level. Whitmer did not address specific changes she would like to see to the work requirements law.

What Republicans say: Republicans say they sought the work requirements as a way to encourage more people to enter the workforce, especially at a time when many employers’ top concern is finding enough skilled talent to fill open jobs. They also have said they are concerned the Healthy Michigan program has grown so large that it’s not financially sustainable.

Spokespeople for Shirkey and Chatfield said Whitmer has not yet discussed her proposed changes with the legislative leaders. “I’m a little disappointed in her approach,” Shirkey said Tuesday of Whitmer’s efforts to revisit the work law.

LGBTQ rights

The facts: In its 2018 study of state laws, Human Rights Campaign, the nation’s  largest LGBTQ advocacy group, ranked Michigan in the lowest of four categories for LGBTQ protections. The group notes that the state does not prohibit discrimination against gay or transgender people.

That has some political history: Former Attorney General Bill Schuette issued an opinion last year that determined Michigan civil rights law does not protect people from discrimination based on sexual orientation or gender identity. The state Civil Rights Commission ignored that decision and continued to investigate LGBTQ complaints. Last month, it asked new Nessel to review that opinion.

What Whitmer said: Whitmer asked the Legislature to expand the state’s civil rights act to definitively include protections for LGBTQ people, arguing the change would bring both social justice and economic benefits.

“No one should get fired because of who they are or who they love,” she said, offering her executive directive expanding protections for LGBTQ people within her administration as an example. “And it’ll help build and attract a talented, top-notch workforce in state government.”

What Republicans say: Chatfield has said he has no intention of holding a vote on LGBTQ rights legislation this term, calling it “reverse discrimination” against religious communities and questioning whether discrimination against LGBTQ people is as pervasive as advocates say it is. Shirkey similarly told the Detroit News that changes to the state civil rights law aren’t going to be a high priority unless “we can include protections for religious freedom in the Constitution.”

On Tuesday, Chatfield told reporters: “I’ve been very clear on that issue: I’ll never pass a bill or vote for a bill that I believe infringes on someone’s sincerely held religious beliefs.” Shirkey said the Senate has no plans to take it up.

Government transparency

The facts: Little has changed since the Center for Public Integrity ranked Michigan worst in the nation for transparency in a 2015 study. Legislators and high ranking public officials are not required to file asset disclosure forms, there’s no restriction on retired legislators joining the lobbying corps, and both the legislature and the governor’s office are exempt from the Freedom of Information Act.

What Whitmer said: Whitmer pledged to expand FOIA to her office and the Legislature during her successful 2018 campaign. Whitmer signed an executive directive earlier this month to speed up the executive branch’s response to FOIA requests, but did not immediately open her own office to public records requests. She said then she would prefer FOIA expansion to be put into law rather than through executive directive. She reiterated this request during her speech Tuesday night: “We have the power to fix (the state’s low transparency rating.) Let’s expand FOIA to my office and to the Legislature. It’s time to ensure that the sun shines equally on every branch of state government.”

What Republicans have said: Chatfield sponsored legislation to extend FOIA to the Legislature and governor’s office last session which passed unanimously in the House, though it went on to die in the Senate. Similar legislation was introduced this session, and Chatfield told Bridge he’s still supportive of the change. Shirkey, however, has said the package requires more study and warned against “unintentional negative consequences.”

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Comments

Jim tomlinson
Wed, 02/13/2019 - 12:00am

Republicans failed on every topic noted in the piece

Wolfman
Wed, 02/13/2019 - 1:06am

Where’s the pension tax repeal? She campaigned on this promise. Many retirees with pensions left Michigan for no tax states. It’s uncompetitive!

Matt
Wed, 02/13/2019 - 10:26am

You're not suggesting that people will leave Michigan if we raise their taxes, are you? Given her To Do list better reserve your U-haul now!

Don
Wed, 02/13/2019 - 2:11pm

More old people left under Snyder the Snakes taxing them that there are no more that can aford to leave,,, NO one with money to by their homes!!!

Matt
Wed, 02/13/2019 - 10:32am

Also Wm there are only 6 states that exempt pension income from state income taxes, so that isn't the issue you say.

Kevin Grand
Wed, 02/13/2019 - 5:57am

Of course her speech was light on specifics!

Her people are still trying to figure out how to sell this pig in a poke (aka The Whitmer Administration) to Michigan Taxpayers.

Lee
Wed, 02/13/2019 - 6:21am

In response to the call for more education funding, Mr. Studley of the Michigan Chamber of Commerce, said, “Our view, after careful study, is that the problem is not a lack of government spending,” Mr. Studley, would you please provide the sources and evidence of your careful study? The rest of us are not familiar with them.

Matt
Wed, 02/13/2019 - 10:43am

Lee, the US in general is very near the top in Ed spending per student vs. our economic peers, OECD average, with Michigan very close to the average expenditure. Our results, US in general and Michigan in particular are below the median. What do other nations know and do that we don't? https://nces.ed.gov/programs/coe/indicator_cmd.asp
How's that?

Chuck Fellows
Wed, 02/13/2019 - 11:22am

Other nations allow teachers to teach and children learn. Her we demand compliance and conformance from teachers, students and parents at great expense. Standardized testing is a good example. Producing meaningless scores producing punishment and shame with no information about learning growth. North of $18 million annually not including the time taken from actual learning.

Chuck Fellows
Wed, 02/13/2019 - 11:29am

Other nations allow teachers to teach and children learn. Her we demand compliance and conformance from teachers, students and parents at great expense. Standardized testing is a good example. Producing meaningless scores producing punishment and shame with no information about learning growth. North of $18 million annually not including the time taken from actual learning.

Matt
Wed, 02/13/2019 - 1:14pm

We're probably not in total disagreement. I don't believe the government should oversee k - 12 education anymore than they do 13 - 16 - the Gov can't make a kid read! It's just one of many things they stink at. It should be decentralized and individualized - the Europeans are much much closer to this than we are, although I doubt this fits with the MEA's vision. But without standardized tests how do you tract your kid's progress?

Don
Wed, 02/13/2019 - 2:15pm

Teacher only can teach how to take the state manatory tests. and the schools have to by teaching tools to teach the kids to take the test..... No more math, english, hamd writing NO time for it HAVE to study for the 100000 test that the Republicans have force the kids to take or the schools loses money>>> O but charter scools DO NOT have to take any test!!!!

Helen Handbasket
Wed, 02/13/2019 - 6:31am

Pffft, Democrat or Republican will never succeed due to the new crop of lazy ass'.
Why would anyone bust butt when the government makes it so easy to loaf, including it's own workforce.
MDOT & MDEQ just pass the buck to someone else.

G kimpan
Wed, 02/13/2019 - 9:28am

Pendulum continues. Republicans get us out of fiscal mess, Dems get in to put us right back into bankruptcy path. I'm lucky I can leave when the new taxes start. Can't say I was "blown away".

Chuck Fellows
Wed, 02/13/2019 - 11:25am

Republican policy created a fiscal mess transferring wrath from citizens to corporations and making financial promises not kept. History shows Democrats restore financial stability and economic growth.

Matt
Wed, 02/13/2019 - 1:28pm

You didn't think it a good thing to transfer wrath from the citizens to the corporations?

TJH
Wed, 02/13/2019 - 10:20am

Gov. Whitmer's speech was light on details to be sure, but she has very little control over the appropriation of funds required to implement any of the changes needed to address the priorities she identified. The details will need to be hammered out in bipartisan negotiations if we have any chance of moving the needle on any of these priorities.
We'll learn soon enough whether or not the GOP controlled legislature wants to work on our State's problems with this moderate Democrat Governor or stall and obstruct for four years in hopes of making her a one term governor with no record to use in her re election campaign.
She tried to shame them a bit with her comments about lame duck chicanery and legislation intended to block voter referendums, but for the most part she struck a concilatory tone and an invitation to work together. If they refuse to work with her for the good of the State and the citizens, they should be voted out so that she has a legislature that will.

Chuck Fellows
Wed, 02/13/2019 - 11:29am

Auto insurance. In today’s Senate hearing supporters of choice stated that people are smart enough to make their own choices on coverage limits. If citizens are indeed “smart enough” to predict they will never need catastrophic care what do we need insurance for?

Barry Visel
Wed, 02/13/2019 - 12:06pm

“Let’s be very clear: This is not happening because our kids are less talented. This is not happening because our kids are less motivated. It’s not happening because our educators are less dedicated,” Whitmer said. “It’s happening because generations of leadership have failed them.” So, if the first 3 are true then all we have to do is...nothing! Just stay out of the way and let local school boards do their job.

Judy mackey
Wed, 02/13/2019 - 2:19pm

I see no improvement in Winters ideas than Snyder’s. I do remember a statewide vote on auto insurance and voters chose to keep no fault insurance. Another vote would be needed to replace it.

Todd
Wed, 02/13/2019 - 2:58pm

She's a disaster. Her idea to help with the roads is to use Twitter hashtags?? Sound familiar? She must have received a tip from Michelle Obama. Obama thought it to be useful to put out a hashtag that read #bringbackourgirls or #bringourgirlsback. Just google that and you'll get it.

Matt
Wed, 02/13/2019 - 6:26pm

What? You mean Boko Haram isn't all over Twitter?

goromtg@gmail.com
Mon, 02/18/2019 - 2:42pm

Whitmer says “Let’s be very clear: This is not happening because our kids are less talented. This is not happening because our kids are less motivated. It’s not happening because our educators are less dedicated,” Whitmer said. “It’s happening because generations of leadership have failed them.” She goes on to equate that with state spending per student, but, is that the real answer? I don't think so. According to the CATO institute in November of 2018, Michigan ranked 36th out of all states in education. At the same time, according to www.governing.com, Michigan ranked 18th in spending per student. I don't know if that includes funds from the lotto and state gas tax. If not then that amount would be significantly higher. Regardless, some states that spend more have done better. But of the 17 states spending more than Michigan, NY, which spends 22k per student ranks below MI at 31 in the CATO rankings. Alaska spends 17k per student but ranks 43d. CT spends 18k and ranks 20th. Maine spends 13k and ranks 49th. Of course, there are states spending more than MI and ranking higher in the CATO findings. However, Virginia ranks #1 in CATO and they spend slightly less than MI. Mass is #2 at a little over 15k and Florida rounds out the top three at just under 9k. This is quite a disparity and shows that's there's not much correlation between spending per student and student achievement. There's much much more that goes into education than just throwing money at it. Urban and non urban environments; parental or non parental participation in education are just a couple of the influences on education. The basic tenets of education, reading, writing and arithmetic are an absolute necessity. But beyond that it might be time to rethink our education system. Grade school is where we develop those necessary basics. After that, secondary education should be divided up into trade prep schools and college prep schools. Not every student wants to go to college and others simply may not qualify. But that's no reason to not have an opportunity to have a successful career. Even within that structure it might make better sense to subdivide further. Within the college prep programs the first two years should be followed by some sort of two year focus-education to prepare students for college in their desired specialty . That includes everything from math, to physics to music and so much more.

Whitmer also makes a comment about the low level of college degrees in Michigan. I moved to Michigan as an executive 30 years ago. One of the first observations I made was, that in spite of several outstanding universities, many Michigan people did not see a need for college degrees, and why would they? Michigan had built a middle class on the auto industry and unions that provided an income base that equated to the kind of income many college degrees offered. That culture allowed many a Michigander to own a home as well as a second vacation home. The downside, of course, is that when the auto industry hits a slump, the lack of college degrees works against both the union employees looking for other opportunities as well as other industries looking for qualified workers.