Tough Talk With Taros “Capital Cronyism” Hosted by Paul Taros

\ Leave a Comment \ by

This was Recorded Live March 6, 2017 at the Bloomfield Township Public Television Studios. Paul interviews Former Monroe County Republican Chairman Jeff Andring and Former Republican Elected Official and Candidate R Al Bain.

Jeff Andring and Randy Bain are Co-Founders of the Conservative Caucus of Monroe County. At about the 18:32 minute mark Mr. Andring talks about the recent Insurance Fee Rate Hike by the Michigan Catastrophic Claims Association bestowed on the states drivers. Click the link below to view interview.
https://youtu.be/hOGDQzqPG00 

“But how is this legal plunder to be identified? Quite simply. See if the law takes from some persons what belongs to them and gives it to other persons to whom it does not belong.

See if the law benefits one citizen at the expense of another by doing what the citizen himself cannot do without committing a crime.” ~ Frédéric Bastiat

A1 Tough Talk With Taros

Pin It
Posted in: Bain Report, Politics, The Bain Report \ Tagged: , , , , , , , , , , , , , , , , , , , , , , ,

Michigan Lawmakers Giveaway over $7 Billion in Subsides

\ Leave a Comment \ by

Taxpayer Funded Business Subsidies: Profits & Tax Breaks for them “Higher Taxes” for us Citizens

Business Subsidies or Road Tax Increase? In May you will decide at the Ballot Box. What do Lansing lawmakers do when they commit “grand theft” of our road fund monies on subsidies for economic development instead of on Michigan roads?

They let the taxpayers hang themselves by voting on a ballot proposal “tax increase” holding our roads hostage if we don’t vote yes.

The MEDC is like a bad movie titled, Michigan Taxpayers Subsidize the Wealthiest Businesses or how Michigan Taxpayer Funded Subsidies supply funds for Corporation profits.

“These subsidy awards are getting out of control,” said Philip Mattera, research director of Good Jobs First and principal author of the report.

http://www.wcpo.com/money/local-business-news/new-study-ranks-ohio-third-in-the-award-of-large-public-subsidies-for-company-expansion

Jennifer Granholm pursuing Toyota engineering center Economic Money

In 2005, Toyota landed a $38.9 million tax credit from the Michigan Economic Development Corp.’s Michigan Economic Growth Authority (MEGA) board to fuel the expansion of its technical center in York Township.

http://www.annarbor.com/business-review/bob-lutz-criticizes-jennifer-granholm-for-pursuing-toyota-engineering-center/

Michigan Taxpayers Pony Up Subsidies for Toyota…Yet Again!

What’s the old saying, third times a charm? In this round of taxpayer funded subsidies The Michigan Strategic Fund has awarded the automaker another $4 million. In addition to this subsidy, Toyota received a State Education Tax Abatement with an estimated value of about $1.3 million.

http://www.detroitnews.com/story/business/autos/foreign/2014/12/18/toyota-invests-ann-arbor/20580241/

MEDC Approves Incentives for Toyota

The Michigan Economic Development Corporation announced that Toyota has been awarded $4 million. York Township is additionally considering approval of local incentives in the form of a 12-year property tax abatement that could save the company up to $4.6 million.

The project was secured through a collaborative effort involving MEDC, York Township and Snyder’s Ann Arbor SPARK.

http://www.economicdevelopmenthq.com/blog/michigan-economic-development-incentives-toyota-jobs/

One of Ann Arbor SPARK board of directors are: Charles Gulash, vice president, Toyota Motor Engineering & Manufacturing. Can you say conflict of interest?

http://www.annarborusa.org/about-us/news/SPARK-announces-new-board

This isn’t the first incentive dance Toyota has been to. In 2008 as a Campaign Manager for a State Rep. candidate I attended a meeting with him in York Township and he spoke at that meeting against the first subsidy. The promise then was 400 jobs that never materialized!

Toyota said it plans to build a new facility on its Michigan campus “subject” to final approval of state and local “incentives” to accommodate the 250 workers. That subject to “local incentives” is code word for us the Michigan taxpayers who will pony up through the “failed” MEDC just mark my words!

http://www.freep.com/article/20140428/BUSINESS01/304280056/toyota-moving-texas-los-angeles

Toyota moves bolster Michigan Tech Center with Taxpayer money

http://www.detroitnews.com/article/20140428/AUTO0104/304280038/0/auto01/Toyota-shift-North-American-HQ-Texas-add-jobs-Michigan

Toyota moves thousands of jobs from socialist California to capitalist Texas

Why not the “Comeback State” Michigan? I’ll tell you why it’s no different than California! Michigan will get 250 jobs in Snyder’s Ann Arbor if the taxpayer subsidies are sufficient which they already received in 2008.

http://winteryknight.wordpress.com/2014/04/29/toyota-moves-thousands-of-jobs-from-socialist-california-to-capitalist-texas/

Toyota & 5,000 Jobs to Leave California for Texas

http://thepeoplesrepublicofcalifornia.blogspot.com/2014/04/toyota-5000-jobs-to-leave-california.html

Take a look at the incentives Toyota received from different state and local offices to locate their plant in certain locations. From Wikipedia: Toyota has received a little over a billion USD in federal, state, and local government tax subsidies and incentives including: * $323.9 million in subsidies for the plant in Tupelo from Mississippi taxpayers. * $371 million in subsidies for the Georgetown plant from Kentucky taxpayers. * $227.5 million in subsidies and tax incentives for the Tundra plant by Local, Texas, and U.S. taxpayers.

Michigan has the most megadeals, with 29, followed by New York with 23; Ohio and Texas with a dozen each; Louisiana and Tennessee with 11 each; and Alabama, Kentucky and New Jersey with 10 each.

“Megadeals” are defined as taxpayer funded incentive packages (subsidies) worth more than $75 Million. This does not include those subsidy giveaways under the $75 Million benchmark such as the Film and Movie Producer subsidies given away here in Michigan or smaller business subsidies.

In dollar terms, New York is spending the most, with megadeals totaling $11.4 billion. Next is Michigan with $7.1 billion, followed by five states in the $3 billion range: Oregon, New Mexico, Washington, Louisiana, and Texas. Twenty-one states have megadeals costing $1 billion or more.

Some of the deals involve little if any new-job creation; indeed, one in ten of the deals involve the mere relocation of an existing facility, often within the same state and sometimes within the same metropolitan area. Some of these retention deals were granted in so-called “job blackmail” episodes.

The La-Z-Boy Corporation in Monroe pulled one of these so-called “job blackmail” episodes when it threatened to move out of Monroe unless the taxpayers of Michigan provided subsidies for building their new headquarters, the MEDC caved and awarded then up to $12.7 Million in taxpayer money.

La-Z-Boy Awarded $3.7 Million “Plus” from The Michigan Strategic Fund

Furniture maker plans to build a new world headquarters in Monroe after state approval this week on a $3.7 million incentive package. This “taxpayer funded” package could be worth $12.7 million over nine years when the package’s grants and tax breaks are combined and that is contingent on La-Z-Boy adding 50 jobs.

Dan Swallow, director of economic and community development for Monroe, said the two grants and the tax abatement were paramount to keeping La-Z-Boy fully committing to staying in Monroe. The company had stated it would remain in Monroe if everything could be worked out, but if it couldn’t, it might be forced to go to another county or state.

http://www.toledoblade.com/Retail/2012/12/21/La-Z-Boy-a-big-step-closer-to-new-headquarters-Michigan-OKs-3-7M-aid-for-50M-project.html

Right after La-Z-Boy got our tax dollars the company reported third-quarter profits that soared. Michigan-based La-Z-Boy said Tuesday its operating income was up 37 percent in the fiscal 2013 third quarter, to $23.3 million, compared with $17 million in the same quarter of 2012. The company ended the quarter with $112 million in cash and equivalents.

http://www.prnewswire.com/news-releases/la-z-boy-reports-fiscal-2013-third-quarter-results-191882971.html

Are corporate subsidies worth the money? 

http://www.cbsnews.com/news/are-corporate-subsidies-worth-the-money/

History of the MEDC: The Michigan Economic Development Corporation (MEDC) was started by Republican Governor John Engler expanded by Democrat Governor Jennifer Granholm and put on steroids by Governor Rick Snyder.

The Michigan Jobs Commission (MJC) By Joseph P. Overton and Aaron Steelman, published on April 1, 1996

https://www.mackinac.org/5327

Study: Michigan Economic Development Corporation Published on May 4, 2004 (Now Part of The Department of Labor and Economic Growth)

http://www.mackinac.org/6561

A Brief History of State Economic Development By Michael D. LaFaive, published on Oct. 6, 2005

http://www.mackinac.org/7375

THE LOCAL DEVELOPMENT FINANCING ACT – Act 281 of 1986

http://www.legislature.mi.gov/%28S%28iwwxm445lieanr555ydmnd2v%29%29/mileg.aspx?page=GetObject&objectname=mcl-Act-281-of-1986

Governor John Engler appoints Board of Directors for the new Michigan Economic Development Corporation. The two most notable board members are Governor John Engler (general chair); Rick Snyder, Avalon Investments, Inc., Ann Arbor (chair)

http://www.michiganbusiness.org/press-releases/engler-appoints-board-for-new-michigan-economic-development-corporation/

Rick Snyder’s two Venture Capital Companies Avalon Inc. hit with liens for unpaid taxes

http://www.annarbor.com/business-review/rick-snyders-venture-capital-companies-hit-with-liens-for-unpaid-taxes/

John Engler assumes leadership as Business Roundtable Preesident. Business Roundtable (BRT) is an association of chief executive officers of leading U.S. companies working to promote crony public policy.

http://businessroundtable.org/engler

Economic Development Subsidies Report Megadeals: By Philip Mattera and Kasia Tarczynska with Greg LeRoy. “Megadeals” are defined as taxpayer funded incentive packages (subsidies) worth more than $75 Million. This does not include those subsidy giveaways under the $75 Million benchmark such as the Film and Movie Producer subsidies given away here in Michigan or smaller business subsidies.Economic Subsidies by State 1

Click “Full report” in the link below to view how over $7 Billion of your tax dollars has been wasted on subsidies here in Michigan since 1986.

http://www.goodjobsfirst.org/publications/megadeals-largest-economic-development-subsidy-packages-ever-awarded-state-and-local-go

Pin It
Posted in: Bain Report, Politics, The Bain Report \ Tagged: , , , , , , , , , , , , , , , ,

Yet Another Government Boondoggle M-1 Rail Line ‘on the Wrong Track’ for Michigan Taxpayers

\ 2 Comments \ by

The Republicans with the Republican controlled legislature in Lansing is passing legislation more in line with the Democrat Party! The Grand Old Party is supposed to stand for a more conservative stand on issues. They are supposed to stand for and believe that the federal government should not play a big role in people’s lives. Most Republicans favor lower taxes and less government spending on social programs. They are supposed to stand for and believe in less government intervention in business and the economy. Not the case here in Michigan!

Detroit M-1 Rail Line

Our current Republican Governor and his counterparts within the Republican controlled legislature in Lansing has proven the exact opposite of the stated stand above they do not adhere to that ideology. Higher taxation, more regulation and bigger government involvement and intervention in business and the economy at the cost to taxpayers has further proven they are on the wrong track for Michigan’s taxpaying citizens and the Republican Party’s stated mission.

In January 2013, with a $25 million (taxpayer funded) U.S.. Department of Transportation grant under the guise of economic development and the proposed 45 permanent positions for Detroit Department of Transportation workers this project has moved forward. With all the “secrecy” surrounding the Michigan Economic Development Authority (MEDC) and their non-transparency no telling how much other taxpayer funds will be funneled to this project!

We taxpayers have been to this dance before. One look at the projections made when the Detroit People Mover was proposed should send up huge “red flags” to the taxpayers of Michigan. The M-1 Rail Line will eventually be donated to the Regional Transit Authority, officials said. Governor Snyder’s 2014 executive supplemental budget calls $2 million “taxpayer dollars” from the general fund to be allocated to the Regional Transit Authority. How much more of Michigan taxpayers’ dollars will be wasted only time will tell. The M-1 Rail Line is expected to serve 6,000 riders a day initially and eventually grow to 10,000. See People Mover.

http://www.detroitnews.com/article/20140218/METRO01/302180070/

The Detroit People Mover opened in 1987 at the time of planning; the system was projected to have a ridership of 67,700 daily. In it’s first year, an average of 11,000 riders used the People Mover each day. The Mover costs $12 million annually in city and “state subsidies” to run. So, all Michigan taxpayers who never have or never will use this system pays for the few who do use it. In 2006, the Mover filled less than 10 percent of its seats! The daily ridership 7,083 – Annual ridership 2,328,084 (FY 2011).

http://en.wikipedia.org/wiki/Detroit_People_Mover

Michigan Senate OKs bill “shifting” $100M for snow removal and RTA
The “Theft” of our road tax money continues!
The legislation would mean at least $10.83 million for the four counties in the Detroit region, including $2.44 million for Macomb County, $3.74 million for Wayne County and $3.86 million for Oakland County, according to the Michigan Department of Transportation.
http://www.detroitnews.com/article/20140220/POLITICS02/302200077/1361/Michigan-Senate-committee-OKs-shifting-$100M-for-snow-removal

Michigan Senate OKs $100M plan to repair damaged roads, fill potholes and taxpayer funded RTA Start Up cost.

The supplemental budget includes: nearly $20 million for Harper and Hutzel hospitals, and $2 million in start-up costs for the Regional Transit Authority of Southeast Michigan among other carve out’s to other entity’s.

Sen. Roger Kahn, R-Saginaw Township, said passage was crucial for many departments in the state. If our legislators in Lansing would just wake up and open their eye’s they would clearly see that by abolishing the “failed” quasi government entity the business buddy favorite MEDC that would supply the much needed funds that these state departments so desperately need. But if they did that they wouldn’t receive the “kick-backs or campaign coffer enrichments now would they!
http://www.freep.com/article/20140220/NEWS06/302200081/michigan-roads-potholes-repairs-proposal

The authority has $500,000 taxpayer funded capital in the bank to work with, provided through the Michigan Department of Transportation. Sen. Roger Kahn, R-Saginaw Twp., whose chairman of the Senate Appropriations committee, said a discussion planned for Thursday on a supplemental appropriations bill between him, House Appropriations Chairman Joe Haverman, a Holland Republican, and state Budget Director John Nixon would likely include additional RTA taxpayer funding.
http://www.theoaklandpress.com/general-news/20131119/regional-transit-authority-ceo-has-yet-to-sign-contract-cites-lack-of-dedicated-funding-stream

Michigan House approves regional transit authority
Senate Bill 911, which allows for the collection of new vehicle registration fees to fund the RTA, also passed through the House by a vote of 57-50. Earlier on Thursday, the House had taken action only to pass SB 909, the RTA enabling legislation.
http://www.annarbor.com/news/michigan-house-approves-regional-transit-authority-including-washtenaw-county-in-57-50-vote/

2012 Senate Bill 909: Create Detroit regional mass transit authority
Public Act 387 of 2012
Introduced by Sen. Tom Casperson (R) on January 26, 2012, to create a new Detroit area regional transportation authority (previously called DARTA now called RTA Southeast Michigan Regional Transit Authority) covering Macomb, Oakland, and Wayne counties, and potentially others. Among other powers the authority could levy property taxes (special assessments) and higher local vehicle registration taxes with the approval of a majority of the aggregate of all votes cast in an election (meaning a particular community could not “opt out” of the tax increase).
http://www.michiganvotes.org/2012-SB-909

2012 Senate Bill 911: Authorize Detroit regional transit vehicle registration tax
http://www.michiganvotes.org/2012-SB-911

Detroit Reinvention Senate and House Bills and Public Acts
This article list taxpayer funds given to Detroit in subsidies.
http://michigan.gov/snyder/0,4668,7-277-57577-291716–,00.html

2012 Senate Bill 912: Create Detroit regional mass transit authority
Introduced by Sen. Bert Johnson (D) on January 26, 2012, to exempt the Detroit regional transit authority proposed by Senate Bill 909 (and House Bill 5309) from local zoning ordinances. This is part of Gov. Rick Snyder’s road and transit tax proposal.
Public Act 389 of 2012
http://michiganvotes.org/Legislation.aspx?ID=144494

2011 Senate Bill 445: Create Detroit area transit authority
Public Act 391 of 2012
http://www.michiganvotes.org/Legislation.aspx?ID=145614

2012 Senate Bill 967: Authorize dedicated “rolling transit” lanes
Public Act 390 of 2012
http://www.michiganvotes.org/Legislation.aspx?ID=138435

http://michiganvotes.org/Legislation.aspx?ID=144492

Comment on Bill – Re: 2012 Senate Bill 909  by waltduro on March 30, 2012
Here Snyder goes again, looking to raise taxes so his buddies at Business Leaders for Michigan can get paid.

Senate Bill 911, Authorize Detroit regional transit vehicle registration tax
Introduced by Sen. Bert Johnson (D) on January 26, 2012, to give the regional transit authority proposed by Senate Bill 909 the power to impose a higher vehicle registration tax in the region to pay for buses and other public transportation.
Public Act 388 of 2012
http://michiganvotes.org/Legislation.aspx?ID=144494

Business Leaders for Michigan – Members: Many of these listed members have received taxpayer funded subsidies for their individual business ventures here in Michigan. http://www.businessleadersformichigan.com/blm-members/

Pin It
Posted in: Bain Report, Politics, The Bain Report \ Tagged: , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Detroit News Report falls short on Michigan’s Road Fund Money Allocation Problem

\ Leave a Comment \ by

Michigan ranks dead last in the nation when it comes to its per capita spending on its roads and bridges, according to a report citing U.S. Census Bureau data. Is it because Michiganders don’t pay a high enough gas tax, or have our legislators been re-directing our road tax dollars elsewhere?

Michigan has the 5th highest Gasoline Tax in the nation, only Democrat controlled CA, NY, HI, CT are higher! Michigan’s gas excise tax is 19 cents per gallon. Michigan also collects sales taxes and an environmental regulation tax for a whopping grand total of 39.4 cents per gallon.

Michigan legislators have been stealing, robbing and shifting “our” road fund monies for years! Now that the kitty is bone dry they have the gull to suggest “we taxpayers” pony up by accepting a gas tax and vehicle registration fee increases.  Article continues below the picture.

Gas Tax Hike Snyder

Michigan legislative Transportation and Infrastructure committee chairs Wayne Schmidt (R) House and Tom Casperson (R) Senate would serve their constituents and all Michigan motorist well by pushing legislation that would outlaw any further diversions of Gasoline Tax monies from roads, bridges and infrastructure. Unfortunately these two seem more concerned about “Horse Trading” with politically well connected real estate developers.

http://www.detroitnews.com/article/20140213/METRO05/302130103/Michigan-ranks-last-per-capita-spending-roads-bridges

There is a clear pattern of history here of transferring  “stealing” our road tax dollars for other unspecified state spending projects by our elected officials. And our legislators have the gull to propose new taxes on the citizens of Michigan as to repair our roads! Just say no to any new road taxes!

Republican Senate Majority leader Randy Richardville gave a legislative update to the Monroe Chamber of Commerce on Friday, January 10 2014. When he was through giving this update he opened up the floor for questions.

The very first question asked from a chamber member was, there is a lot of talk about a gas tax increase and vehicle registration fee increases coming out of Lansing will we be seeing this in 2014.

Mr. Richardville responded that we will see some sort of “re-alignment” in the gas tax structure but not until after the 2014 elections! Hmmm…I would say that is code word for “yes” we will see a gas tax and vehicle registration fee increase and you can take that to the banksters who donate to their campaign coffers!

2003 “Forgive” Mackinac Bridge Authority Taxpayer Loan

At a time when the state is struggling to repair its crumbling roads, this bill and the others in the Mackinac Bridge bill package would take more than $5 million away from repairing Michigan’s roads and bridges. Further, the bills in this package would forgive a combined debt of over $65 million owed to the state (we the taxpayers) in restricted funds that are used to fix our roads.”

Fast forward to 2014 and guess what Michigan taxpayers “the chickens have come home to roost” and you Mr. and Mrs. Taxpayers of Michigan are now on the hook for fixing this problem perpetrated on the taxpayers of Michigan by the very “thieves” we have elected to serve us!

2003 House Bill 4627 Introduced by Rep. Tom Casperson (R) on May 6, 2003, to forgive state loans to the Mackinac Bridge Authority.
http://www.michiganvotes.org/2003-HB-4627

Fiscal Analysis – MACKINAC BRIDGE AUTHORITY LEGISLATION
HB 4627 (H-1) would amend Section 7 of 1952 PA 214 (the Mackinac Bridge Authority’s authorizing statute) the bill would forgive certain “advances” made to the Mackinac Bridge Authority in the Motor Fuel Tax Act – effectively from the Michigan Transportation Fund (MTF).

Tom Casperson 38th district

As of September 30, 2002, there remained an unpaid balance of $53.2 million associated with this advance. Subsection 5 of the bill indicates that this advance is repaid or forgiven effective March 1, 2003.
http://www.legislature.mi.gov/documents/2003-2004/billanalysis/House/pdf/2003-HFA-0464-x3.pdf

A very small legislative sampling of how our road tax money is shifted below and there are many others.

Transfer road tax money to other purposes (Senate Roll Call 539) All Senate Republicans voted in favor to reduce the amount of infrastructure project spending from the transportation economic development fund by $12 million in the Fiscal Year that ends Sept. 30, 2009, and another $12 million in the next fiscal year. House Bill 5073 diverts this money to other state spending that was Signed into law by then Gov. Jennifer Granholm on November 3, 2009.
http://www.michiganvotes.org/RollCall.aspx?ID=423745

Transfer road tax money to other purposes (Senate Roll Call 404) All Senate Republicans but one voted in favor to transfer $5.7 million from the state “Comprehensive Transportation Fund” (from which subsidies to public transportation systems are paid), and use the money instead to avoid reductions in non-transportation state spending in the 2009-2010 fiscal year. See also House Bill 5679 (which transfers money from another source into the CTF). This one was Signed into law by then Gov. Jennifer Granholm on September 17, 2010. 
http://michiganvotes.org/RollCall.aspx?ID=505897

2011 Senate Bill 411: Create “DRIC/NITC” bridge authority Introduced by Sen. Randy Richardville (R) on June 7, 2011, to “revise” the state road tax “allocation” law to “accommodate” the authority proposed by Senate Bill 410 to build a new bridge between Detroit and Windsor (the “Detroit River International Crossing” or “New International Trade Crossing,” a.k.a. “DRIC” or “NITC”). This would essentially take road fund monies away from our roads and transfer those monies to this new government authority! AKA, BIGGER GOVERNMENT!
http://michiganvotes.org/2011-SB-411

All About Michigan’s Road Funding and the Recently Proposed “Gas Tax” Increase
http://bainreport.wordpress.com/2013/02/04/all-about-michigans-road-funding-and-the-recently-proposed-gas-tax-increase/

Michigan Road Tax Investigation: Snyder, State Legislators Ignoring State Law and Continue to “Gouge” Michigan Motorists on Gas Taxes
http://bainreport.wordpress.com/2013/09/26/michigan-road-tax-investigation-snyder-state-legislators-ignoring-state-law-and-continue-to-gouge-michigan-motorists-on-gas-taxes/

Detroit News Road Report

Pin It
Posted in: Bain Report, Politics, The Bain Report \ Tagged: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Why Snyder and Republicans Believe in “Bailout” for Detroit’s “Comeback”

\ Leave a Comment \ by

As to why Republicans believe in Detroit as the Comeback City only if you can handle the truth I’ll tell you why? Just look at all the players who are reaping taxpayers’ money for their business ventures! The politically connected businessmen and their politician buddies up in Lansing are making huge profits off us taxpayers.

The taxpayer money is being funneled and laundered through the “failed” quasi government un-elected entity the Michigan Economic Development Authority (MEDC) in a “pay to play” scheme that would make even Bernie Made-Off proud! Where’s the FBI or U.S. Attorney Barbara McQuade?

This scam perpetrated on we taxpaying citizens of Michigan could be summed up as “Pure Corruption”. The pay part in this scam involving these businessmen and politicians goes through the MEDC by way of subsidies, grants, tax break incentives and or by other legislative means. Then the politicians’ campaign coffers are enriched as payback for services rendered either directly or indirectly. Follow the money!
http://www.detroitnews.com/article/20140212/OPINION01/302120002

Bad Why Corruption Reins King

Pin It
Posted in: Bain Report, Politics, The Bain Report \ Tagged: , , , , , , , , , , , , , , , , , , , , , , , , , ,

Michigan’s False “Comeback” Offer Taxpayer Funded “Bribes” to Businesses

\ 1 Comment \ by

So you think we have “principled” Republican control in Lansing? Think again! Michigan ranks 38 out of 50 states in per-capita income, 42nd in business climate. Michigan had the fifth highest per-capita income in America in 1953. So what has our politicians done to reverse this trend? They do what any crony capitalist would do they offer “bribes” to these companies with taxpayer dollars to stay in the state.

Kurt Darrow, CEO of La-Z-Boy said La-Z-Boy never found a reason compelling enough to uproot its employees and leave Michigan but if Michigan through the “failed” MEDC didn’t pony up the dough to help build it’s new headquarters they would move elsewhere! Ohio was actively pursuing them to relocate to their state with subsidies.

Dan Swallow, director of economic and community development for Monroe, said the two grants and the tax abatement were paramount to keeping La-Z-Boy fully committing to staying in Monroe. The company had stated it would remain in Monroe if everything could be worked out, but if it couldn’t, it might be forced to go to another county or state.
http://www.toledoblade.com/Retail/2012/12/21/La-Z-Boy-a-big-step-closer-to-new-headquarters-Michigan-OKs-3-7M-aid-for-50M-project.html

The company’s third-quarter profit soars! Michigan-based La-Z-Boy said Tuesday its operating income was up 37 percent in the fiscal 2013 third quarter, to $23.3 million, compared with $17 million in the same quarter of 2012. The company ended the quarter with $112 million in cash and equivalents.
http://www.prnewswire.com/news-releases/la-z-boy-reports-fiscal-2013-third-quarter-results-191882971.html

Note: Republican Senate Majority leader Randy Richardville is a former employee of La-Z-Boy
http://en.wikipedia.org/wiki/Randy_Richardville

(Continue reading below the picture)Bribes

The Snyder re-election campaign starts with 6 stops around Michigan. Snyder’s campaign says the Monday stops are at James Group International in Detroit, Two Men and a Truck in Lansing and at Downtown Market in Grand Rapids. Two Men and a Truck recently received taxpayer funded subsidies to expand it’s business through the “failed” MEDC to expand its corporate headquarters in Lansing.

Because of the “failed” MEDC and it’s non-transparent policies there’s no telling how much of “our” tax dollars are being funneled to these businesses here in Michigan. One thing is certain and that’s the fact that “we taxpayers” are being taken for one hell of ride in this “scam”.

The cronyism and theft of “our” tax dollars continues with the “Friends and Family Program” along with the Republicans “Buddy Fund” administered by our elected officials in Lansing. Snyder recently appointed John Rakolta, CEO of Detroit-based construction firm Walbridge and partner of the “failed” Raleigh Film Studio in Pontiac to the board of the MEDC. Oh and by the way we taxpayers are now on the hook for that studios failed bond payments. Can you say “conflict” of interest?

Michigan Republican Party chairman Bobby Schostak is also receiving not just federal subsidies for his new skyscraper high raise office building in Detroit but is seeking state subsidies as well through the MEDC. If you remember Mr. Schostak got his legislative buddies in Lansing to pass “a mortgage bill for one” as to “bailout” his brother who he is partners with in Schostak Brothers & Company, Inc. that saved them from paying a $2.4 million judgement of a foreclosure in their Cherry Land Mall in Traverse City Michigan.
http://www.freep.com/article/20120331/NEWS15/203310415/

Note: Meridian Health Plan is expected to be the sole office tenant in the taxpayer funded Schostak office building in Detroit. Governor Snyder appointed Meridian to administer the new Medicaid (SnyderCaid) expansion/ObamaCare.
http://www.crainsdetroit.com/article/20130918/NEWS/130919855/meridian-health-plan-expected-to-move-into-16-story-detroit-building

When will the citizens and voters of Michigan wake up to the fact that it’s not just the Democrats that is the problem it’s this kind of Republican control as well. While I am appalled at the liberal progressive socialist policies of the Democrats I am equally appalled at the these same types of policies that we are seeing from the so-called Republicans we now have in Lansing.

Other Sources:
http://www.freep.com/article/20120401/COL04/204010479/Brian-Dickerson-In-Lansing-a-mortgage-bill-tailored-for-one

http://www.freep.com/article/20131030/COL06/310300170/Tom-Walsh-La-Z-Boy-Meijer-John-Engler

http://www.michiganbusiness.org/press-releases/governor-joins-in-celebration-of-two-men-and-a-truck-expansion/

http://www.detroitnews.com/article/20130220/BIZ/302200331

https://www.mackinac.org/features/search/?text=film&site=MCC&count=100

http://michiganfilmcreditsecrets.blogspot.com/

Public Employee Pension Systems Raided To Pay Film Studio Bills – Michigan teachers and state employee systems paid $1.68 million so far for Pontiac studio
http://www.michigancapitolconfidential.com/18384

Michigan-Subsidized Film Studio Fails; State Pension Fund Had to Guarantee Missed Loan Payments
http://taxfoundation.org/blog/michigan-subsidized-film-studio-fails-state-pension-fund-had-guaranteed-loan

Pin It
Posted in: Bain Report, Politics, The Bain Report \ Tagged: , , , , , , , , , , , , , , , , , , , , ,