House Committee considering stripping legal ads from newspapers

LANSING -- Weekly and daily newspapers struggling to survive could be dealt a deathblow if they lose legal ads that are a steady source of ad revenue, and that could happen under a package of bills the House Judiciary Committee is considering.

The Committee took testimony on Wednesday on a package of bills that would allow local governments to post the ads on their web sites or on their public access cable TV channels. The law requires the municipality to post notices of meetings and ordinances in a newspaper of general circulation in the municipality in order to keep the public informed and for a permanent record. Some new ordinances can be very long, and depending on the newspaper’s ad rate, it can be expensive.

The Judiciary Committee took testimony on two packages so bills, but they did not act on them. Rep. Pam Byrnes, D-Chelsea, was the primary sponsor of a three-bill package – House Bills 5845, 4847 and 5847, that would create a definition of a newspaper and only allow a very limited use of alternative publishing for governmental notices where appropriate newspapers were not available.

Rep. Doug Geiss, D-Taylor, is the main sponsor of another package that includes HB 5916-5917 and HB 5848 and 5853. That package gives local clerks more leeway to use the Internet, cable TV and other means for official posting.

“The heart and soul of legal notices is government transparency, and we take that very seriously,” said Rep. Rebekak Warren, D-Ann Arbor. “That’s where the future of communications going and the devil is in the details.”

A long line of local government officials testified in favor of the bills, saying how much it costs them to place the ads. However, a few local newspaper editors and members of the Michigan Press Association (MPA) did testify against the bills. Their position is that newspapers are more independent than a government web site, and publication in newspapers creates a permanent record that can be verified.

Although no vote was taken, the committee seemed to be leaning toward allowing legal notices to be published by the local government, but not everyone was 100 percent convinced.

“I was must be very old fashioned because I don’t have cable, and I consider myself an informed citizen because I read the newspaper,” said Rep. Tonya Schuitmaker, R- Mattawan. “A concern of mine is; when do we stop. Would we allow this for court notices and foreclosure notices?"

The committee haring lasted almost three hours, and there were still people waiting to testify. Committee Chair Mark Meadows, D-East Lansing, said more testimony would be taken at the next hearing date next week.

House Democrats choose leaders

LANSING - - Rep. Kathy Angerer, D-Dundee, was chosen as the Majority Floor Leader Thursday for the 2009-10 legislative session that begins in January as current, term-limited and Democratic Representatives-Elect gathered in caucus to choose their leaders.

Angerer will replace term-limited Rep. Steve Tobocman, D-Detroit. The Democrats retained House Speaker Andy Dillon, D-Redford Twp, as Speaker of the House. Rep. Pam Brynes, D-Chelsea, was chosen as speaker pro tempore. The votes cast for all three positions were unanimous.

Both Angerer and Brynes - in their third and final terms - took the next step up the ladder. Angerer was the Assistant Floor Leader and Byrnes was the associate speaker pro tempore. Byrnes will be in the chair during floor sessions, and Anger will set the agenda from the floor.

Angerer unseated an incumbent Republican when she won her first term in 2004. Republicans, who controlled the House, were so incensed that she wore a target on her back for two years, and Republicans refused to let her even get the simplest of resolutions passed. The same Republican she beat spent the next two years in the district campaigning and raising money.

In the meantime in Lansing, Angerer proved to be a tireless worker, and her constituent operation was the best in Lansing. She earned the respect of colleagues, opponents, staff on both sides of the aisle and House employees down to the janitorial staff. In the 2006 rematch Anger won by an even larger margin than in 2004, and she was named the chair of the important Health Policy Committee when Democrats took control of the House.

With their seats safe this year, Angerer and Byrnes helped other Democratic House candidate’s campaigns and the Democrats picked up nine seats to give them 67 seats.

The caucus did not elect a caucus chair and assistant positions. Republicans also did not choose its leaders, and they are expected to do that next Wednesday when the Lame Duck session resumes.

Ambassador Bridge representatives lash out at MDOT and military

LANSING – Representatives from the Detroit International Bridge Company received little hard questioning at a hearing of the House Transportation Subcommittee on Thursday, despite skipping the hearing they were originally scheduled to testify at two days earlier, claiming a scheduling conflict and then getting busted by the committee chair at the House Office Building where the committee hearing was held just after the hearing adjourned.

The committee has been holding hearings on the DRIC (Detroit River International Crossing) study, and the lobbyist for the bridge company that owns and operates the Ambassador Bridge, Mickey Blashfield, and company president Dan Stamper were asked about conflicting traffic estimates the company provided that has apparently angered Canadian officials. Instead, the company said the numbers the DRIC team and the Michigan Department of Transportation provided were “grossly inaccurate.”

“We have a four year result to look back at the DRIC estimates, and it shows how far they were off,” Stamper said.

Stamper said the truck traffic peaked in 1999, but Committee Chair Rep. Lee Gonzales, D-Flint, said there has been an upward trend in truck traffic since 1972. Gonzales said 2006 was a record year for truck traffic. The bridge company, however, estimates a flat forecast for the next 40 years. Stamper said they have hired a neutral third party to do a traffic study.

The Ambassador Bridge is the busiest commercial border crossing in all of North America, and its has enormous effects on the economy of both Canada and the U.S. Almost 30 percent of all U.S./Canada trade and over 25 percent of the truck traffic between the U.S. and Canada passes through the Detroit-Windsor gateway. This U.S.-Canadian trade directly supports 7.1 million U.S. jobs, 221,500 Michigan jobs, and one in three Canadian jobs. More than $1 billon in trade crosses the bridge every single day. Increased traffic and increased security concerns led to a partnership between the U.S. Federal Highway Administration, Transport Canada, MDOT and the Ontario Ministry of Transport to increase traffic lanes and capacity across the Detroit River, and the DRIC study began in 2001 to find the best place to build a second crossing.

After studying various location options, the DRIC study found the best option was to build a crossing about a mile from the current Ambassador Bridge.

However the private, for profit bridge company has fought that in an effort to keep its monopoly, saying there is not enough traffic to justify a second crossing and then going forward with building a second span right next to the current one, despite not having clearance from the Canadian government to connect it to Canadian soil. Additionally, traffic on the Canadian side of the Ambassador empties into a city street in downtown Windsor, and trucks must go through 17 stop lights to reach the freeway. Backups can be as long as 5 miles, and Canadian officials do not want to see more traffic dumped onto city streets.

In 2007 Canada passed legislation, The International Bridges and Tunnels Act, to strengthen the Canadian government’s control over all international crossings. Specifically the act says “No person shall construct or alter an international bridge or tunnel without the approval of the Governor in Council.” The government of Canada is on record as opposing a new bridge at the Ambassador Bridge’s current location.

Security has obviously been a major concern in a post 9/11 world, and only two international border crossings are in private hands. The committee presented video testimony from Retired Gen. Barry McCaffrey who supports the DRIC location, and Stamper went out of his way to discredit McCaffrey. He said McCaffrey praised the Bradley fighting vehicle on CNN during the Iraq occupation, but he did not reveal he sat on the boards of several military contracting corporations. He also claims McCaffrey never disclosed he was on the board for a major supplier to MDOT. Stamper also claimed the bridge was the safest crossing in the country.

“We are the only bridge crossing in the country that has armed security 24-hours a day,” he said.

Gonzales asked Stamper if law enforcement had access to the bridge at all times, and Stamper ducked the question, saying Customs controls that; they just operate the facility. Stamper also said they had a massive floating bridge stored in a warehouse in case of a terrorist attack and the bridge was impassable. Stamper also used this opportunity to take some shots at MDOT.

“I don’t want to sound disrespectful, but they haven’t had any adult supervision, and that has allowed them to do whatever they wanted to do,” he said.

In what will be a major talking point for the bridge company to keep its monopoly, Stamper said the twin bridge only impacts the view from the old bridge. The DRIC crossing will displace 400 homes, 50 businesses and churches and non-profits. He said the company has spent $500 million since 1993 buying up property for the new bridge, but it has all been industrial property and will not affect anyone.

“We’re committed to it, and we will finish it,” he said. “We have invested half a million dollars of our owner’s own money.”

Only Rep. Pam Byrnes, D-Chelsea, called him on that testimony.

“For you to say you’re not going to have an impact is inappropriate,” she said.

Stamper also says the DRIC crossing will be built with tax dollars, but that is simply not true. In fact, his bridge would be financed the same way the DRIC crossing would. Both bridges will be financed by revenue bonds secured by future tolls. Both spans of the BlueWater Bridge and the International Bridge - publicly owned international crossing structures in Michigan - were financed this way, as well as the original construction of the Ambassador Bridge

The prospect of a second, privately-owned international crossing has been met with significant opposition, and the DRIC option has widespread support among groups and entities that do not always see eye-to-eye. Supporters include the Southeast Michigan Council of State Governments (SEMCOG), the Big 3 automaker and the Detroit Regional Chamber of Commerce.

Gonzales asked Stamper why all the DRIC supporters were wrong, but he was right.

“The Big 3 would like five bridges all operated and subsidized by the government to keep fares low,” Stamper said. “At the heart of the matter you have a private company that has been operating efficiently for the past 18 years. The government wants to change that and build a government bridge that displaces 400 homes.”

Testimony is expected to continue next week with testimony from MDOT, but Stamper said he wants to come back and testify after MDOT does.

Students rally to protest tuition increases

LANSING – It looked more like a pep rally or a tailgate party Wednesday as hundreds of students representing all of Michigan’s 15 publicly financed colleges and university rallied in front of the Capitol steps to protest the increase in tuition and to urge the Legislature to increase funding for higher education.

The large crowd decked out in school colors carried signs, cheered and chanted. Gabriel Pendas, President of the United States Student Association, fired the crowd up and encouraged them to register to vote with the registration materials that were on hand, and he also urged them to lobby for a new law that gives students a tax break on their student loan payment for students who graduate from Michigan colleges and universities and live and work in the state following graduation. Maine just passed the bill this summer.

“This is democracy right here,” he said. “This is what democracy looks like right here; people who are engaged in the process.”

Despite last-minute budget negotiations going on to save the state government from a shutdown on Monday, there were Legislators on hand to address the students.

“As you stand out on the Capitol lawn you are our future,” said Sen. Liz Brater, D-Ann Arbor. “Investing in your education is investing in Michigan.”

In May the state had to make up an $800 million deficit from the current year budget that ends on Sunday, and included in one of the one-time fixes was a delay in paying the schools $160 million. That led to tuition hikes that averaged 11 percent and some incoming students will see increases as high as 21 percent. Students demanded the delayed payment be made to the schools and demanded increases in funding for colleges and universities.

The state is facing a $1.8 million budget deficit in the budget that begins Monday. However, Republicans refuse to vote for a tax increase even though many admit publicly it is required to balance the budget, and Democrats refuse to vote for cuts until Republicans vote for a tax increase.

“We’re not her to deliver a partisan message because proper funding of higher education is not a partisan issue,” said Senate Minority Leader Mark Schauer, D-Battle Creek. “This affects both Democrats and Republicans.”

Michigan wants to be a leader in life sciences, alternative energy, advanced automotive manufacturing and homeland security through the Governor’s 21st Century Jobs Fund, but many believe that will require investment in education and other areas. Much of the opposition to the tax increase is because of a mistaken belief that Michigan is a high tax state, and Rep. Pam Byrnes, D-Chelsea, said the states with the lowest tax rate are also the states with the lowest wages.

“I am so glad you are here; the timing could not be better,” Byrnes said. “Minnesota has one of the highest tax rates in the country, but they also have the highest graduation rates for both high school and college.
“That’s where the jobs and companies are going,” she said.

But the tuition hikes present unique problems to students who must find more money to pay for school or drop out, which is happening all too often as college becomes less and less affordable to poor and middle class students. Jason Davis, a student leader at the University of Michigan-Dearborn, said he has had to work 40 hours a week since he was a sophomore in high school to pay for college, and he has had to work up to 46 hours a week to pay for the tuition increases.

“This is an issue that had not been addressed for far too long,” he said. “Year after year the tuition increases, and I have to work more, which means less time for studying.”

Christopher Allen, a medial student at Wayne State University School of Medicine, said he had $20,000 in school loan debt when he began medial school, and that debt is contributing to a shortage of general practice doctors.

“When we have high debt we have people go into higher specialties that bring in higher income to pay that debt,” he said. “That creates a shortage of primary care physicians.”