What the Governor’s Talking about
Today
Monday, January 11,
2010
Ford to Invest $450
Million in Vehicle Electrification Initiatives in Michigan
Today the governor announced that Ford plans to invest
an additional $450 million in electrification initiatives in Michigan, including moving future battery pack assembly
for hybrid vehicles from Mexico to Michigan.
In May, Ford announced plans to invest $550 million to
convert the Michigan Assembly Plant in Wayne, which previously manufactured large-body
vehicles such as the Expedition and Navigator, into a flexible manufacturing
facility that will produce smaller, more fuel-efficient
vehicles.
Ford’s investment was enabled by the Michigan Economic
Growth Authority approving today Phase II incremental job retention credits
valued at $110 million and battery pack tax credits valued at $78 million for a
total incentive package valued at $188 million.
Key
messages:
- The $450 million
brings Ford’s total investment for electrification and new vehicle production
in Michigan
to approximately $1 billion. Based on standard investment-to-jobs
calculations, the project is expected to retain 34,490 jobs, including 8,600
direct jobs.
- Ford continues to
demonstrate its commitment to Michigan by bringing together world-class
products, advanced technology applications and our talented workforce to build
the next generation of vehicles that will help reduce our nation’s dependence
on foreign oil.
- Michigan beat out other
states, China, Europe and
Mexico to win Ford’s
investment.
Governor Announces Five
Michigan Companies Receive Department of Energy
Grants
Five Michigan companies will
receive more than $56.6 million in U.S. Department of Energy grants to develop
and demonstrate new technologies to boost automotive fuel efficiency, the
governor announced today.
“As the world turns its gaze to the North American
International Auto Show, Detroit’s auto industry is showing the path to
a fuel-efficient future,” the governor said. “Detroit automakers are
making great strides in producing new, more fuel-efficient engines, and in
vehicle electrification. And today the Department of Energy announced it
will award five of nine Recovery Act-funded grants to demonstrate new
fuel-saving technologies to Michigan automakers and suppliers. These
investments in Michigan companies will help
revitalize the nation’s auto industry and create new jobs for Michigan
workers.”
Key
messages:
- The five
Michigan companies are Chrysler, Delphi, Ford, General Motors and Robert
Bosch.
- The grants to the
five Michigan companies will support efforts to
increase the fuel economy for passenger vehicle engines and powertrain
systems. The goal is to develop engine technologies that will improve
the fuel economy of passenger vehicles by 25 to 40 percent by
2015.
Governor Says $127 Per
Pupil Proration for K-12 Education No Longer
Necessary
The governor announced today that the $127 per pupil
proration for K-12 schools will not be necessary given higher than expected
carry-forward from the 2009 fiscal year and a decline in 2010 expenditure
estimates from the School Aid Fund. The announcement does not eliminate
the difficult decisions school districts face in the current year as a result of
the $165 per pupil and other reductions contained in the fiscal year 2010 budget
passed by the legislature.
Key messages:
- School districts
still have many tough decisions to make this year. We are facing a
crisis in how we fund public education in Michigan. That crisis is reflected in
the $165 per pupil funding reduction that remains in effect, and may be more
pronounced in the year to come.
- The governor’s
executive budget recommendation for the 2011 fiscal year will be presented to
a joint meeting of the House and Senate appropriations committees on February
11.
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