1 "State and Local Government Finances by Level of Government and by State: 1999-2000," (U.S. Census Bureau), http://goo.gl/ DPD2br (accessed Sept. 18, 2013); "State and Local Government Finances by Level of Government and by State: 2009-2010," (U.S. Census Bureau), http://goo.gl/Ow7Qd (accessed Sept. 18, 2013).

2 "Table 1. Intercensal Estimates of the Resident Population for the United States, Regions, States, and Puerto Rico," (U.S. Census Bureau, 2012), http://goo.gl/eXuna (accessed May 10, 2013).

3 "Bureau of Economic Analysis Regional Economic Accounts: Gross Domestic Product by State," (Bureau of Economic Analysis, 2013), http://bea.gov/regional (accessed Sept. 18, 2013).

4 "Bureau of Economic Analysis Regional Economic Accounts: State Annual Personal Income and Employment," (U.S. Bureau of Economic Analysis, 2013), http://bea.gov/regional (accessed Sept. 18, 2013).

5 "Average annual nonfarm payroll employment by state, 2000-2010," (U.S. Bureau of Labor Statistics, 2013), www.bls.gov/sae (accessed Sept. 18, 2013).

6 "Pupil Membership History: FY 1994-95 to FY 2014-15," (Michigan Senate Fiscal Agency, 2013), http://goo.gl/xOCx3 (accessed Sept. 18, 2013).

7 "Table 5: Crime in the United States by state, 2000," (U.S. Federal Bureau of Investigation), http://goo.gl/bKa1e (accessed Sept. 18, 2013); "Table 5: Crime in the United States by state, 2010," (U.S. Federal Bureau of Investigation), http://goo.gl/8WF4A (accessed Sept. 18, 2013).

8 "Average annual state and local government payroll employment by state, 2000-2010," (U.S. Bureau of Labor Statistics, 2013), www.bls.gov/sae (accessed Sept. 18, 2013).

9 "Employee Benefits in the United States - March 2013," (U.S. Bureau of Labor Statistics, 2013), http://goo.gl/YNrFM (accessed Oct. 3, 2013); "Table 43: Nonproduction bonuses: Access, civilian workers, National Compensation Survey, March 2013," (U.S. Bureau of Labor Statistics, 2013), http://goo.gl/x3KBev (accessed Oct. 3, 2013).

10 "Employee Benefits in the United States - March 2013," (U.S. Bureau of Labor Statistics, 2013), Table 2, http://goo.gl/YNrFM (accessed Oct. 3, 2013).

11 Ibid.

12 Bureau of Labor Statistics National Compensation Survey Office, telephone conversation correspondence with James Hohman, April 11, 2013.

13 "Employee Benefits in the United States - March 2013," (U.S. Bureau of Labor Statistics, 2013), Table 2, http://goo.gl/YNrFM (accessed Oct. 3, 2013).

14 "Thirty-Third Annual Workforce Report: Fiscal Year 2011-12," (Michigan Civil Service Commission), 1-1, http://goo.gl/KcFl8 (accessed Sept. 18, 2013).

15 Mich Const 1963, Article XI, Sec. 5.

16 "Employee Benefits: Insurance Rates - Rates for 2012-2013," (Michigan Civil Service Commission, 2013), http://goo.gl/vnGnM (accessed Sept. 18, 2013).

17 Author’s calculations based on "Employee Benefits: Insurance Rates - Rates for 2012-2013," (Michigan Civil Service Commission, 2013), http://goo.gl/vnGnM (accessed Sept. 18, 2013).

18 "Health Care Options," (Michigan Civil Service Commission, 2013), http://goo.gl/YlHRJ (accessed Sept. 18, 2013); "Employee Benefits: Insurance Rates - Rates for 2012-2013," (Michigan Civil Service Commission, 2013), http://goo.gl/vnGnM (accessed Sept. 18, 2013).

19 Michigan Civil Service Commission FOIA response for FY 2012 Certified Aggregate Payroll, email correspondence with James Hohman, Feb. 4, 2013.

20 "School Personnel Data and Reports: Full Time Equivalencies (FTE) Data," (Center for Educational Performance and Information, 2013), http://goo.gl/9CqVYv (accessed Sept. 18, 2013).

21 MCL § 15.561-9.

22 Michael Van Beek, "Most School Health Care Plans Are Too Expensive For Michigan," (Mackinac Center for Public Policy, 2010), http://www.mackinac.org/12083 (accessed May 10, 2013).

23 Michael Van Beek and Kyle Jackson, "Schools Should Fund Learning, Not Insurance Companies," (Mackinac Center for Public Policy, 2012), http://goo.gl/gt2Sqm (accessed Sept. 3, 2013).

24 "Average Family Premium per Enrolled Employee For Employer-Based Health Insurance," (Kaiser Family Foundation, 2011), http://goo.gl/1bHnr (accessed Sept. 23, 2013).

25 MCL § 38.1301-1467; "Michigan Public School Employees' Retirement System: Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 2012," (Michigan Office of Retirement Services, 2013), 24, http://goo.gl/NwCb6 (accessed Sept. 23, 2013).

26 MCL § 38.1601-1646.

27 MCL § 38.1–69.

28 MCL § 38.2101-2670.

29 MCL § 38.1001-1080.

30 MCL § 38.551-62; MCL § 38.571-2.

31 Mich Const Article IX, Sec. 24.

32 Author’s estimation based on "Michigan Public School Employees' Retirement System: Annual Actuarial Valuation Report, September 30, 2012," (Gabriel Roeder Smith & Company, 2013), D-1; "Michigan State Employees' Retirement System: Annual Actuarial Valuation Report, September 30, 2012," (Gabriel Roeder Smith & Company, 2013), D-1; "State and Metro Area Employment, Hours, & Earnings," (Bureau of Labor Statistics), http://www.bls.gov/sae (accessed Oct. 9, 2013).

33 "MERS History," (Municipal Employees' Retirement System of Michigan), http://goo.gl/Dmkhk (accessed Oct. 1, 2013).

34 See, for instance, "Service Credit: Earning and Purchasing," (Michigan Office of Retirement Services), http://goo.gl/ygeQ5 (accessed Oct. 1, 2013).

35 Mich Const Article IX, Sec. 24.

36 "Michigan State Employees' Retirement System: Annual Actuarial Valuation Report, September 30, 2012," (Gabriel Roeder Smith & Company, 2013), A-1.

37 Author’s calculations based on "Michigan Public School Employees' Retirement System: Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 2012," (Michigan Office of Retirement Services, 2013), 49, 83, http://goo.gl/NwCb6 (accessed Sept. 23, 2013).

38 Ibid., 48.

39 Author’s calculations based on "The Report of the Sixty-Fifth Annual Actuarial Valuation as of December 31, 2010," (Municipal Employees' Retirement System of Michigan, 2011), 3, 4, http://goo.gl/AXBfmQ (accessed Oct. 1, 2013).

40 Ibid., 22.

41 Richard C. Dreyfuss, "Estimated Savings From Michigan's 1997 State Employees Pension Plan Reform," (Mackinac Center for Public Policy, 2011), 1-3, http://goo.gl/eOVbuQ (accessed Oct. 2, 2013).

42 "Michigan State Employees' Retiree Health Benefits: Annual Actuarial Valuation Report, September 30, 2012," (Gabriel Roeder Smith & Company, 2013), D-1.

43 Richard C. Dreyfuss, "Michigan's Public-Employee Retirement Benefits: Benchmarking and Managing Benefits and Costs," (Mackinac Center for Public Policy, 2010), 10, http://goo.gl/ukNPw (accessed Oct. 1, 2013).

44 Ibid.

45 "National Compensation Survey-Benefits," (U.S. Bureau of Labor Statistics), www.bls.gov/ncs (accessed Oct. 1, 2013).

46 "Employee Benefits in the United States - March 2013," (U.S. Bureau of Labor Statistics, 2013), 6, http://goo.gl/YNrFM (accessed Oct. 3, 2013).

47 Senior Policy Analyst at The Heritage Foundation James Sherk, email correspondence with James Hohman using data from the Current Population Survey, April 24, 2013.

48 Mich Const Article IX, Sec. 24.

49 "FY 2012-2013 Group Insurance Premium Rates: Retirement - Monthly Rates," (Michigan Civil Service Commission, 2013), http://goo.gl/E5E6e (accessed Oct. 1, 2013).

50 Figures annualized based on "FY 2012-2013 Group Insurance Premium Rates: Retirement - Monthly Rates," (Michigan Civil Service Commission, 2013), http://goo.gl/E5E6e (accessed Oct. 1, 2013).

51 "Employers held health benefit cost growth to 4.1% in 2012, the smallest increase in 15 years," (Mercer, 2012), http://goo.gl/vphYw6 (accessed Oct. 1, 2013).

52 "Employee Benefits in the United States - March 2013," (U.S. Bureau of Labor Statistics, 2013), http://goo.gl/YNrFM (accessed Oct. 3, 2013).

53 "Civil Service Rules," (Michigan Civil Service Commission, 2013), 5-10.1, http://goo.gl/oHl1L (accessed Oct. 1, 2013).

54 Ibid., 5-10.1, 5-4.2, 5-4.5.

55 Ibid., 5-6.2.

56 Michigan Civil Service Commission FOIA response for FY 2012 Certified Aggregate Payroll, email correspondence with James Hohman, Feb. 4, 2013.

57 "Civil Service Rules," (Michigan Civil Service Commission, 2013), 5-6.1-6, http://goo.gl/oHl1L (accessed Oct. 1, 2013).

58 Ibid., 5-4.2.

59 Author’s calculations based on Michigan Civil Service Commission FOIA response for FY 2012 Certified Aggregate Payroll, email correspondence with James Hohman, Feb. 4, 2013; Michigan Civil Service Commission Jill Lockheart, email correspondence with James Hohman, May 2, 2013.

60 "Employer Costs for Employee Compensation," (U.S. Bureau of Labor Statistics, 2013), http://www.bls.gov/ncs/ect (accessed Oct. 2, 2013).

61 "Voluntary Agreements for Coverage of State and Local Employees," (U.S. Social Security Administration), http://goo.gl/JZVzo (accessed Oct. 2, 2013).

62 Section 218 Coordinator Trista Stine, email correspondence with James Hohman, April 25, 2013.

63 Paul Holland, "Unemployment Insurance in Michigan," (Michigan House Fiscal Agency, 2012), 7, http://goo.gl/7FnOJh (accessed Oct. 2, 2013).

64 Paul Holland, "Unemployment Insurance in Michigan," (Michigan House Fiscal Agency, 2012), 9, http://goo.gl/7FnOJh (accessed Oct. 2, 2013).

65 MCL § 418.111, 115.

66 "Workers’ Compensation in Michigan," (Michigan Workers' Compensation Agency), http://goo.gl/z5fWvJ (accessed Oct. 2, 2013).

67 Michigan Civil Service Commission FOIA response for FY 2012 Certified Aggregate Payroll, email correspondence with James Hohman, Feb. 4, 2013.

68 FTE data comes from the annual MDCS workforce reports. "Thirty-Third Annual Workforce Report: Fiscal Year 2011-12," (Michigan Civil Service Commission, 2013), http://goo.gl/KcFl8 (accessed May 10, 2013).

69 Author’s calculations based on "Michigan Public School Employees' Retirement System: Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 2012," (Michigan Office of Retirement Services, 2013), http://goo.gl/NwCb6 (accessed Sept. 23, 2013).

70 "2011 Public Employment and Payroll Data for State and Local Governments in Michigan," (U.S. Census Bureau, 2012), http://goo.gl/Bfxrf (accessed Sept. 23, 2013).

71 Senior Policy Analyst at The Heritage Foundation James Sherk, email correspondence with James Hohman using data from the Current Population Survey, April 24, 2013.

72 "Employee Benefits in the United States - March 2013," (U.S. Bureau of Labor Statistics, 2013), Table 2, http://goo.gl/YNrFM (accessed Oct. 3, 2013).

73 Robert H. Brook et al., "The Effect of Coinsurance on the Health of Adults: Results from the Rand Health Insurance Experiment," (The RAND Corporation, 1984), http://goo.gl/cBnVfI (accessed Oct. 9, 2013).

74 "State Personal Income and Employment Methodology," (U.S. Bureau of Economic Analysis, 2012), III, III-4, http://goo.gl/vSYXn (accessed Sept. 23, 2013).

75 "Employer Health Benefits: 2013 Annual Survey," (The Henry J. Kaiser Family Foundation, Health Research & Educational Trust, 2013), Ex. 1.11, http://goo.gl/5466lu (accessed Sept. 12, 2013).

76 Jason Richwine and Andrew G. Biggs, "Assessing the Compensation of Public-School Teachers," (The Heritage Foundation and American Enterprise Institute, 2011), 1-2, http://goo.gl/bsYgMd (accessed Oct. 9, 2013).

77 "Economic Vitality Incentive Program," (Michigan Department of Treasury, 2012), http://goo.gl/PDgKiI (accessed Oct. 2, 2013).

78 Carol Wolenberg, "Memorandum: Guidance on Financial Best Practices Incentive, Section 22f," (Michigan Department of Education, June 30, 2011), http://goo.gl/Chi8s (accessed Sept. 4, 2013).

79 MCL § 15.561-9.

80 For an analysis of the law’s provisions, see "A Summary of Senate Bill 7 (H-6, CR-1) as Reported From Conference Committee," (Michigan House Fiscal Agency, 2011), http://goo.gl/ctudB (accessed Oct. 2, 2013).

81 Ibid., 2.

82 For more information, see James Hohman and Richard C. Dreyfuss, "MPSERS and MSERS: Three Pension Policy Briefs," (Mackinac Center for Public Policy, 2012), http://goo.gl/NGhXUW (accessed Sept. 4, 2013).

83 See Richard C. Dreyfuss, "Estimated Savings From Michigan's 1997 State Employees Pension Plan Reform," (Mackinac Center for Public Policy, 2011), http://goo.gl/eOVbuQ (accessed Oct. 2, 2013).

84 "Department of Treasury - Revenue Sharing Funding History," (Michigan Senate Fiscal Agency, 2013), http://goo.gl/AZNfv accessed Oct. 2, 2013); "Higher Education Funding History," (Michigan Senate Fiscal Agency, 2013), http://goo.gl/mD9l9 (accessed Oct. 2, 2013); "Community Colleges Funding History," (Michigan Senate Fiscal Agency, 2013), http://goo.gl/pKtWE (accessed Oct. 2, 2013); "School Aid Funding History," (Michigan Senate Fiscal Agency, 2013), http://goo.gl/FbGck (accessed Oct. 2, 2013).

85 James Hohman, "Benchmarking Benefits Methodology Sheet," (Mackinac Center for Public Policy, 2010), http://goo.gl/sZzHYG (accessed Sept. 9, 2013).