Program

Gross Appropriation

Appropriation Breakdown

 

 

 

Unclassified Salaries;

$1,638,300[90]

All from GF/GP

Executive Direction

 

 

Program Description:

Unclassified Salaries and Executive Direction set policy for the Jobs Commission as a whole.

Recommended Action:

With the elimination of the Jobs Commission comes the ability to eliminate these appropriations from the budget.

Program

Gross Appropriation

Appropriation Breakdown

 

 

 

K.I. Sawyer and Wurtsmith

$500,900[91]

$58,000 from Interdepartmental

Base Conversion Authorities Grants;

 

$442,900 from GF/GP

Program Description:

K.I. Sawyer and Wurtsmith are two former United States Military bases that were closed upon approval of the federal Base Conversion Authority Panel's recommendation.

Recommended Action:

The state should sell the remaining areas of these bases that it still owns as soon as possible, since they currently are a drain on Michigan taxpayers. Indeed, the Department of Management and Budget recommended such an action over three years ago, writing, "The state must aggressively pursue its options and locate an appropriate buyer."[92]

Program

Gross Appropriation

Appropriation Breakdown

 

 

 

Department Operations

$8,115,800[93]

$1,675,900 from Federal Funds;

 

 

$5,737,300 from GF/GP;

 

 

$702,600 from Special Revenue

 

 

Funds

Program Description:

Included in Department Operations are the following programs: Administrative Services, which provide support services, such as computer and accounting services, to the Department; Rent and Property Development Services, which are the housing costs incurred by the MJC; and Worker's Compensation, which are the costs incurred by the state from providing Worker's Compensation to employees within the MJC.

Recommended Action:

With the elimination of the Jobs Commission comes the ability to eliminate these appropriations from the budget.

Program

Gross Appropriation

Appropriation Breakdown

 

 

 

Economic Retention

$32,066,500[94]

$42,000 from Interdepartmental

and Expansion

 

Grants;

 

 

$2,425,200 from Federal Funds;

 

 

$27,270,600 from GF/GP;

 

 

$2,328,700 from Special Revenue Funds

Program Description:

Included in Economic Retention and Expansion are the following programs:

The Michigan International Trade Authority, which provides export financing assistance for Michigan companies; it also lobbies foreign countries to buy Michigan goods--particularly agricultural goods. This program maintains offices in Europe, Asia, Africa, Canada, and Mexico.

The Travel Bureau, which advertises throughout the United States on behalf of the Michigan tourism industry, in an attempt to increase tourism in the state.

The Michigan Promotion Program, which attempts to demonstrate to non-Michiganians, through large advertising campaigns, that Michigan is a nice place to live and a good place to do business.

Business Services, which encourages and financially assists minority-owned, women-owned, and handicapper-owned businesses.

Recommended Action:

All of the programs within the Economic Retention and Expansion division are examples of corporate welfare. Businesses, not Michigan taxpayers, should be responsible for their promotional activities and financial services.

Program

Gross Appropriation

Appropriation Breakdown

 

 

 

Workforce Development

$75,620,100[95]

$50,000 from Interdepartmental Grants;

 

 

$61,955,900 from Federal Funds;

 

 

$8,984,100 from GF/GP;

 

 

$4,630,100 from Special Revenue Funds

Program Description:

Included in Workforce Development are the following programs:

Employment Training Services, which attempts to provide "workers with the skills they need to get the job done."[96] It has proposed to reach this goal by establishing 10 state-run skilled trade academies within the next four years; matching selected employers' contributions toward training services for their employees; and funding worker recruitment conferences and job fairs for prospective employers and employees in the state.

The State Technical Institute and Rehabilitation Center, which provides vocational and technical training and a wide range of support services to adults with disabilities. Located on a 32 acre campus near Plainwell, it offers 16 training programs, varying in length from 2 semesters to 2 years.

The Drug and Alcohol Abuse Referral Monitoring Agency, which informs employees and employers of substance abuse rehabilitation programs that may be of help and, in some cases, assists them financially with the cost of such programs.

Recommended Action:

Let us look at each of the programs individually:

The Employment Training Services Program is attempting to meet a real need, since many students graduate from Michigan high schools without necessary job skills, and must be retrained prior to entering the work force. There currently exist, however, numerous vocational and job training programs sponsored by community colleges, labor unions, public schools, for-profit educational firms, and businesses themselves. This program reflects the Jobs Commission's expansionist mentality, which sees a government solution to every perceived inadequacy.

Many companies have a long and honorable history of providing training to their employees. For example, the Big Three automakers all have outstanding apprenticeship programs for employees wishing to work as skilled tradesmen at those companies--programs that have been both effective, and cost-free to the Michigan taxpayer. This tradition will continue as long as there are employers in need of employees and employees in need of work--a phenomenon that is not likely to go away. While there may be problems with the quality and type of education offered today, these problems are more likely due to the intervention of government rather that its absence. The institutions of civil society are perfectly capable of providing job training. Those who want to make sure that the educational resources provided meet the needs of the marketplace should be promoting educational choice, not Jobs Commission schools.[97]

The State Technical Institute and Rehabilitation Center should be eliminated for the reasons above.

The Drug Abuse and Alcohol Referral Monitoring Agency and the Community Substance Abuse, Prevention, Education, and Treatment Grant Program should immediately eliminated. As with any other support services that companies provide to their employees, substance abuse treatment should be paid for by employers.

Program

Gross Appropriation

Appropriation Breakdown

 

 

 

Departmental Grants

$380,653,000[98]

$50,000 from Interdepartmental Grants;

 

 

$307,526,100 from Federal Funds;

 

 

$68,717,700 from GF/GP;

 

 

$4,359,200 from Special Revenue Funds

Program Description:

For the current fiscal year, the following grants have been appropriated:

Job Training Partnership Act Subgrantees

$162,829,500

Michigan Community Service Commission Subgrantees

$6,675,000

Displaced Homemakers

$382,000

Supported Employment Grants

$1,043,900

Technology Assistance Grants

$979,000

Vocational Rehabilitation Client Services

$33,288,800

Vocational Rehabilitation Independent Living

$936,300

Personal Care Attendants

$155,500

School-to-Work Subgrantees

$9,000,000

Trade Academy Grants

$500,000

Economic Development Job Training Grants

$36,200,000

Work First Grants

$65,901,500

CDBG Pass Through Grant

$61,257,000

State Research Fund

$750,000

Michigan Transition Initiative Grants

$454,500

Resource Recovery Revolving Loan Fund

$300,000

Recommended Action:

The Grant Program--the primary program conducted by the MJC before it was incorporated as a Department--is an unnecessary expenditure of taxpayer dollars; it should be eliminated. As discussed earlier in regard to the Employment Training Program, job training and industry research is fundamentally the responsibility of employers, potential employees, and private organizations, not state government.