Legislative - Update
Thursday, May 5, 2005
Granholm Announces Proposal to Boost Construction Jobs
Details of a proposal to help boost the state’s employment picture, especially with construction jobs by speeding up construction and repair of roads, redeveloping of schools and nursing homes and boosting both environmental clean ups and downtown developments, were unveiled by Governor Granholm recently. The “Jobs Today Initiative” will use a combination of bonding and private investment to create nearly 40,000 jobs over three years.
The Governor’s proposal is part of the strategy outlined last month in her State-of-the- State address which includes jobs developed through a proposed $2 billion bond issue she wants the legislature to put forth to the voters this November. While parts of this proposal will deal with longer-term development issues, some work should be able to get underway yet this year.
In the short term, Granholm hopes to use the Clean Michigan Initiative bond funding, approximately $30 million to clean up and redevelop brownfields around the state. Another $38 million will go to clean up some 45 sites considered the most hazardous to residents around Michigan. Additionally, some $124 million will be spent over the next several years to deal with leaking underground fuel tanks. These three environmental issues could generate around 3,200 jobs.
Another shorter term initiative, one that could create the largest potential of job growth as well as the greatest immediate impact, will come from accelerated highway and bridge construction projects in 2005 and 2006 affecting as many as 6,400 workers across the state. While the overall sites for work have been selected as part of the state’s five-year plan, the detailed list is yet to be developed as to those that are being accelerated.
The longer term proposal would include construction jobs for redevelopment of K-12 schools around the state, nursing homes and other environmental clean ups and downtown development type projects. Details of this proposal are yet to be determined.
As this proposal develops further information will be made available.
Governor Granholm Announces Transportation Economic Development Investments
Governor Granholm announced on March 25, 2005, that more than 2,000 jobs would be created or retained in Michigan as the result of $6,451,751 in state-funded transportation investments that will leverage more than $523 million in private sector development.
MDOT is partnering with local governments and other state agencies to provide $29,430,478 in transportation-related investments for targeted road projects that will support Michigan jobs and fuel economic growth.
MDOT collaborated with the Michigan Economic Development Corporation (MEDC) to select transportation improvement projects in the following six counties: Huron, Ionia, Kalamazoo, Oakland, Otsego and Washtenaw. These combined projects will result in 2,115 jobs.
Finalized Listing of Capital Outlay Projects Released
Below is a list for the fiscal year 2004-05 Capital Outlay Projects that will be under construction as early as this summer. These projects will obviously include significant site work and infrastructure improvements.
Universities Project Total Cost
1. Central Education Building 50,000,000 2. Ferris Instructional Resource Center 7,500,000 3. Grand Valley Padnos College of Engineering 16,000,000 4. Lake State Special Maintenance 163,100 5. Michigan State Chem Building/Cooling Tower 27,500,000 6. Michigan Tech General Campus Renovations 10,000,000 7. Saginaw Valley Pioneer Hall 16,000,000 8. UM-AA Stud. Act./Oberv. Lodge/Phoenix Lab 29,500,000 9. UM-Flint French Hall/Murchie Hall 9,350,000 10. Wayne State Engineering Development Center 26,500,000 11. Western Brown Hall 12,900,000
Subtotal Universities 205,413,100
Comm. Colleges Projects Total Cost
12. Alpena Instructional Addition/Renovations 3,335,000 13. Bay De Noc West Campus 11,748,700 14. Gogebic Campus Renovations 1,000,000 15. Jackson Health Program Expansion 15,000,000 16. Lansing University Center 10,000,000 17. Macomb Health Science Technology Center 12,000,000 18. Mid Michigan Science and Technology Center 17,579,100 19. Montcalm Life Science Training Facility 6,000,000 20. Northwestern Oleson Center Renovation 1,310,000 21. Schoolcraft Technical Services Facility 10,039,900 22. Southwestern IT Instructional Center 4,500,000 23. Washtenaw Technical & Industrial Bldg. 7,185,000 24. West Shore Student Learning Center 7,911,500
Subtotal Comm. Colleges $107,609,200
Municipalities Finally Once Again Utilizing the State’s Revolving Fund
The D.E.Q. announced recently that a number of city water infrastructure improvements projects would begin to move forward with almost $31 million in loans for four municipalities.
The municipalities getting loan money are: Lansing, Port Huron, Warren and Independence Township.
Senate in Washington Restores Clean Water Funding
After three long days of debate and consideration, the Senate in Washington D.C. passed its version of FY2006 federal budget, which included language to increase the amount of federal funding to the Clean Water State Revolving Fund (SRF). An amendment was inserted to specifically set the funding level for the Clean Water SRF at $1.35 billion for FY06. This move was necessary because the White House budget request in February sought to cut the funding for the Clean Water SRF program to only $730 million.
The House Budget resolution that passed the same day also increased SRF funding above the White House request. The next step is for the House and Senate to “conference” on the bill to work out any differences. The budget document is non-binding, but it does guide the House and Senate Appropriations Committees when they set up spending levels later this year.
If you have any questions or comments regarding this bulletin, please contact Mike Nystrom at 517-347-8336.
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