Subject: What the governor is talking about this week
What the Governor’s Talking about This Week
Friday, September 24, 2010
 
Governor Thanks Members of Michigan Congressional Delegation Who Supported Small Business Act
Six Budget Bills Signed by Governor
Reforms Changing Health Care System for the Better, Governor Says
Governor Touts 21st Century Jobs Fund Program during Visit to Kalexsyn in Kalamazoo
 
Governor Thanks Members of Michigan Congressional Delegation Who Supported Small Business Act
 
The governor issued the following statement late Thursday regarding passage of H.R. 5297, the Small Business Jobs and Credit Act of 2010, by the U.S. House of Representatives:
 
“Today Congress approved the Small Business Jobs and Credit Act of 2010, which will help small businesses access credit so that they can make new investments and create jobs.  Also included in this legislation is $12 billion in tax breaks and $1.5 billion for the State Small Business Credit Initiative, which is modeled on the successful Michigan Supplier Diversification Program.  I thank the members of the Michigan congressional delegation who supported our small businesses by voting for this legislation.”
 
Six Budget Bills Signed by Governor
 
On Thursday the governor signed fiscal year 2011 appropriations bills for community colleges, the judiciary and the departments of Agriculture, Education, State Police and Military and Veterans Affairs.
 
Department of Agriculture — The department’s fiscal year 2011 appropriation is $76.4 million, including $30.3 million from the state’s general fund.  The budget includes $13 million for food safety programs, $23.5 million to protect plant and animal health, and $13.8 million for consumer safety protections, including gas pump inspections. 
 
Community Colleges — The fiscal year 2011 appropriation for the state’s 28 community colleges is $295.9 million, a decrease of $3.5 million from fiscal year 2010.  Funding for operations at each college is maintained at the current level as is funding for the At-Risk Student Success Program.  Overall funding was reduced as a result of the elimination of the Renaissance Zone tax reimbursements previously provided to community colleges.
 
Department of Education — The department will receive $127 million for fiscal year 2011, including $21.9 million from the general fund.  This is an increase of $14 million over the current year, largely due to increased federal funding.  This budget provides the funding needed to implement the state’s education reform package signed into law earlier this year that will strengthen student achievement and accountability.
 
Judiciary — The total operating budget for the judiciary for fiscal year 2011 is $260.4 million, which includes $152.1 million in general fund money.  The budget maintains funding for drug treatment courts that hold offenders accountable for their behavior while providing treatment for substance abuse problems.  Successful substance abuse treatment can reduce long, costly incarcerations and recidivism at both the local and state levels.
 
Department of Military and Veterans Affairs — The department’s fiscal year 2011 appropriation is $150 million, which includes $36.4 million in general fund money.  The budget maintains $3 million for veterans’ service organizations that provide benefit counseling and assistance to the state’s veterans.  In addition, $43.2 million is provided for military training sites, headquarters and armories for national security, and $68.4 million for the Grand Rapids and D.J. Jacobetti veterans’ homes which currently serve nearly 900 veterans.
 
Michigan State Police — The MSP budget for fiscal year 2011 totals $529.2 million, including $260.4 million from the state’s general fund.  To help keep citizens safe, the budget maintains the current number of state troopers and provides $36.7 million to operate the state’s crime labs.
 
Key messages:
 
•  Keeping Michigan citizens safe is a primary responsibility.  The Michigan State Police budget will keep troopers on the road, maintain crime labs and meet our homeland security needs.
•  Community colleges play a critical role in helping ensure all Michigan citizens, regardless of age, have access to the training they need to be successful.  Even in challenging economic times, we’ve been able to maintain stable funding in this area.
•  The budgets the governor signed today protect funding for critical priorities, including education and public safety.  It’s now time for the legislature to complete its work on the 2011 budget to further protect the priorities that are important to the people of Michigan, including investing in job creation programs, education and health care for the vulnerable.
 
Reforms Changing Health Care System for the Better, Governor Says
 
In her weekly radio address, the governor today said health care reforms that took effect September 23 as part of the federal Patient Protection and Affordable Care Act are helping transform our nation’s health care system for the better.
 
“No longer can insurance companies deny coverage for children under age 19 based upon a pre-existing medical condition,” the governor said.  “Also, in this tough economy, it’s difficult for many young people to afford health insurance.  So now, insurers and employers who provide dependent coverage are required to make that coverage available at their next open enrollment period to children up to age 26.”
 
“Health care reform now makes preventive care more affordable,” the governor continued.  “Health insurance plans have to, upon renewal, eliminate any cost-sharing for preventive services covered under the contract.  Insurance companies can no longer charge a deductible, a co-pay or co-insurance for preventive care measures such as immunizations.”
 
Key messages:
 
•  The Patient Protection and Affordable Care Act will provide further benefits down the road, such as affordable coverage options for the uninsured and those who purchase their own individual health insurance.  But already we’re seeing important changes in areas such as preventive services and protecting health care for children.  Our health care system is being transformed for the better, and all Americans will benefit.
 
•  Consumers should contact their health insurer or employer to learn more about how all of the reforms affect their current health coverage.  If consumers have questions or complaints regarding an insurance company, agency, agent or product, they should contact the Office of Financial and Insurance Regulation.
 
To listen to the radio address, click on the following link:
http://www.michigan.gov/documents/gov/Gov268Full_333351_7.mp3
 
Governor Touts 21st Century Jobs Fund Program during Visit to Kalexsyn in Kalamazoo
 
The governor visited Kalexsyn in Kalamazoo on Thursday, a chemistry research organization formed in 2003 by two former Pfizer employees and one of the companies awarded financing though the 21st Century Jobs Fund. 
 
The Jobs Fund is a $2 billion, 10-year initiative proposed by the governor, approved by the state legislature and administered by the Michigan Economic Development Corporation to accelerate the diversification of Michigan’s economy and create jobs. 
 
In 2003, Kalexsyn used the Pfizer Company Formation Fund ($192,200, paid back in full) to build a company from scratch.  Since then, the company has grown from a laboratory in the Southwest Michigan Innovation Center to a stand-alone operation in an adjacent building.  Kalexsyn also has hired 21 ex-Pfizer employees.  Currently, Kalexsyn provides preclinical development services to companies around the world.
 
Key messages:
 
•  Through the 21st Century Jobs Fund, we have laid a foundation for a new, diversified Michigan economy by providing start-up businesses with seed capital, coaching and a support infrastructure.
 
•  Combined, all Jobs Fund awardees have created or retained more than 24,000 jobs in the emerging high-tech sectors of life sciences, clean energy, advanced manufacturing, and homeland security and defense.
 
•  As of March 31, 2010, the 21st Century Jobs Fund initiative has leveraged more than $1.8 billion in private investment.  Companies supported by the initiative have filed and/or received 898 new patents, and commercialized or licensed 450 new products and technologies.
 
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