From the Governor’s Office:

Governor Jennifer M. Granholm today encouraged the citizens of Michigan to remember the meaning and importance of Memorial Day by honoring those members of the armed forces from our state and across the country who have given their lives in defending democracy and freedom. In recognition of their selfless sacrifices, the governor has ordered United States flags lowered Monday until noon.

“Memorial Day brings the nation together to pay tribute to our noble fellow Americans in uniform who died so that we may live in a country where freedom and liberty reign,” Granholm said. “It is a tremendous privilege to salute these courageous heroes who gave so much to our state and nation.”

On Thursday, Granholm hosted an event at the governor’s residence for the families of Michigan service members who have died recently in the Iraq and Afghanistan conflicts. This is the seventh year that the governor has hosted the event.

The governor urged all Michigan residents to pause on this day of remembrance to recognize and honor those who fought for and defended our right to freedom and to ensure that the purpose for which they fought will not be forgotten.

The governor directed flags flown at half-staff and half mast Monday, May 31, under Section 7 of Chapter 1 of Title 4 of the United States Code, which states that on Memorial Day, United States flags are to be displayed at half-staff by hoisting the flag to the peak for an instant and then lowering the flag to half-staff until noon only, when the flags should be raised to the top of the staff.

Memorial Day marks the start of the summer travel season, and in this week’s radio address Governor Granholm encourages Michigan residents to consider a vacation right here in our state. Not only do we have so much to see and do here, it helps support Michigan businesses and jobs!

Hello, this is Governor Jennifer Granholm.

Memorial Day weekend is here – the traditional start of the summer travel season. When planning your vacation or weekend getaways, I encourage you to discover the wonderful place we call Pure Michigan. Whether you seek camping or fishing, golf, unique special events or big city dining and nightlife, we have it all here in Michigan.

Time away from your daily routine offers the opportunity to explore our state, to learn new things or to just plain relax. Your Michigan vacation is a great way to reconnect with nature, our culture and your friends and family.

But there’s another reason to travel in Michigan this summer, and that’s jobs. By traveling in Michigan you’re supporting businesses and workers across the state – hotels, restaurants, wineries, art galleries, stores and gas stations.

Travelers spent more than $15 billion at Michigan businesses last year, and that spending by visitors employs 142,000 Michigan residents. Tourism generates economic activity in both peninsulas, every region of the state and every Michigan county.

With all the great things to see and do in Michigan, how do you get started? You should begin at michigan.org, the state of Michigan’s official tourism website. You’ll find information there on thousands of great activities and attractions, events, parks, hotels, bed and breakfasts, plus great deals and discounts.

From michigan.org, you can order a copy of our Michigan Travel Ideas magazine. It’s a beautiful, glossy publication packed with great stories on traveling in Michigan. And you also can link from michigan.org to all our Pure Michigan social media channels like Facebook and Twitter, our travel blog, YouTube, and flickr. If you’d rather pick up some great Michigan travel information in person, just stop by one of our 14 welcome centers that are located throughout the state.

Michigan has a summer full of fun just waiting for you. If you enjoy ships and boats, the Tall Ships are coming to Bay City, and there’s the antique wooden boat show in Hessel in the eastern Upper Peninsula. For car enthusiasts, there’s the annual display of Motor City steel in the Woodward Dream Cruise in metro Detroit. Or if you love art, there’s a new event in downtown Grand Rapids called ArtPrize.

Michigan is a beautiful state that has something for everyone. I hope you’ll take advantage of the many great events and activities happening this summer and support businesses and jobs in our state. And remember, as Tim Allen always says at the end of our Pure Michigan commercials – your trip begins at michigan.org.

Thank you for listening.

The Department of Natural Resources and Environment reports that reservations are on the increase this year. So far, hotel bookings on Mackinac island are up 8%, campsite bookings are up 5%, and marinas and slip reservations are up 15% – so be sure and make your plans soon!

Sometimes it’s fun to take off without any plans at all, and see where the day takes you. If you are one of those people, you will enjoy one of this year’s new Pure Michigan commercials:

Have a happy and safe Memorial Day Weekend!

From the Governor’s Office:

LANSING – Governor Jennifer M. Granholm today joined President Barack Obama in calling on Congress to pass a comprehensive small business jobs package. The governor is in Washington D.C. to participate in a White House event honoring small business owners in observance of National Small Business Week.

“In Michigan, we have taken many steps to diversify our economy, including helping entrepreneurs launch and grow new ventures,” Granholm said. “President Obama’s plan to increase access to capital for small businesses will boost efforts already underway in Michigan like our Supplier Diversification Fund and other initiatives.”

The governor thanked Congressmen John Dingell, Sander Levin, and Gary Peters and other members of the Michigan congressional delegation for their leadership on this issue.

The president is pushing a legislative package that includes new lending initiatives to help creditworthy firms access capital, tax cuts to support investment and expansion, and enhancements to successful Small Business Administration programs. One of the new initiatives, the New State Small Business Credit Initiative, is modeled after Michigan’s Supplier Diversification Fund. The fund is designed to help Michigan manufacturers and auto suppliers diversify into new emerging sectors such as alternative energy, homeland security/defense, medical instruments and aerospace. However, because Michigan, like every other state, has limited resources, the state simply cannot meet the need to help all of the companies who want access to the program.

In her 2010 State of the State address, the governor announced several aggressive initiatives to spur investment and small business growth in Michigan. They include the small business investment credit passed by the Michigan House of Representatives and awaiting action by the Michigan Senate; expanded funding for FastTrac NewVenture, a program for entrepreneurs to learn how to successfully launch and grow a small business; and the Michigan Small Business Financing Alliance, a new partnership launched this year with the MCUL and the MI-SBTDC to provide an initial $43 million for eligible small-business loans.

Governor Granholm appeared on MSNBC to talk about the importance of this legislation, and other steps being taken to help small businesses:

At the White House event, Michigan’s program to provide loans to auto suppliers drew praise as a national model that helps small business gain access to capital. From the Detroit News:

A Michigan program to help auto suppliers gain access to loans will be used as a national model in a small-business aid package unveiled today by President Barack Obama, Gov. Jennifer Granholm said.

Granholm, who attended the small-business event in the White House Rose Garden, said the federal expansion of the program will enable many Michigan auto suppliers who were shut out of the state’s loan assistance plan to get access to capital.

“A whole lot of suppliers not able to access this program because we ran out of money” now will be able to participate, Granholm said in a teleconference with reporters.

She said Michigan was able to make $12 million in loans to 18 businesses under its program, which was focused on helping the suppliers diversify. The governor said there were requests from 54 companies for $150 million that went unfilled. Under the program, the state helps buy down the loan risk for companies with collateral problems.

Charles Reid of Holland, Michigan’s Business Person of 2010, was invited to the Oval Office to have a discussion with President Obama – you can read about his visit to the White House here.

In this week’s radio address, Governor Granholm explains how the retirement reforms signed this week will help us avoid more budget cuts in the short term, and will reduce the structural deficit in K-12 funding in the future.

Hello, this is Governor Jennifer Granholm.

A key component of our ongoing efforts to transform Michigan’s economy is educating our children so they can compete with anyone else in the world. Education is the most important, long-term strategy for diversifying Michigan’s economy and for fostering entrepreneurship and creating jobs.

We’ve had difficulty in adequately funding K-12 schools in Michigan partly because of a structural deficit in the state School Aid Fund. A structural deficit is when costs continue to outpace revenues.

Back in January, I proposed 29 reforms to Michigan government that included changes to pension and health-care benefits for public school employees. These pension and health-care reforms would help to resolve the structural deficit in the School Aid Fund, and they were included in my state budget recommendation that I presented to the Legislature in February.

Earlier this week, I signed into law two bills that implement these reforms. And they accomplish several things.

First, public school employees who choose to retire between July 1 and September 1 of this year will receive a slightly enhanced pension. About 56,000 school employees are eligible to retire between those dates.

It’s estimated that about half of those employees – about 28,000 – will choose to retire. And this will create thousands of job opportunities for new college graduates who are eager to teach in Michigan.

For school districts, the retirement costs for new school employees who are hired on or after July 1 this year will be less. That’s because these employees will be placed into a new, lower-cost retirement plan that’s a combination of both a defined benefit and a defined contribution plan.

Also beginning July 1, all employees who are members of the Michigan Public School Employees’ Retirement System will contribute 3 percent of their pay to an irrevocable health-care trust.

Together, reforms to the public school employees retirement system will save school districts nearly $680 million in the next school year. Over the next 10 years, the savings will grow to more than $3 billion.

In the short term, the money saved by these reforms, combined with favorable revenue projections for the School Aid Fund, means that we will not have to cut K-12 funding in the upcoming fiscal year. And over the long term, these reforms will help us fund education at the level needed for our children to succeed in a global economy.

Thank you for listening.

Details of the review and decision along with a copy of the denial letter and the MPSC analysis can be viewed at www.deq.state.mi.us/aps/cwerp.shtml .

The Michigan Department of Natural Resources and Environment (DNRE) today denied Wolverine Power Supply Cooperative’s air quality Permit to Install application for a new 600 megawatt power plant, fueled primarily by petroleum coke and coal, in Rogers City. The decision follows a thorough review of the permit application under state and federal law.

The state’s decision is based on findings of the Michigan Public Service Commission (MPSC), which said the company failed to demonstrate the plant was needed to meet future supply needs.

The MPSC staff also determined that building the proposed plant would increase electricity rates paid by average residential customers to 20.7 cents per kilowatt-hour. The 59.2 percent rate increase would cost the average residential customer $76.95 more each month. Only Hawaii has a higher average kilowatt-hour rate.

“We are protecting hundreds of thousands of Michigan homeowners, businesses, and farmers from paying a whopping increase in their electric bills, which would have been among the highest in the nation,” Governor Jennifer M. Granholm said. “The cost of doing business in Michigan would have skyrocketed, and despite the short-term gain from its construction, this project would have been a job-killer and a roadblock in our efforts to bring new economic development investments to Michigan.”

Granholm said that in addition to protecting ratepayers from being gouged with higher electric bills, the decision protects Michigan’s environment from the pollution an unnecessary plant fueled primarily by petroleum coke and coal would produce.

Last year, Granholm asked energy experts at the MPSC to analyze whether there was a need for the proposed Wolverine facility and if there were alternative methods of meeting their customer demand. The governor also asked the DNRE to consider the MPSC analysis as part of its air permit review process, consistent with the department’s duties under state and federal law.

The DNRE ultimately determined that Wolverine had not adequately demonstrated through the alternative analysis the inability to secure long-term power supply purchase arrangements, such as buying power from an existing power plant, to meet their member needs. Wolverine Power is a wholesale provider of energy to four electric cooperatives that include Cherryland Electric Cooperative, Great Lakes Energy, HomeWorks Tri-County Electric Cooperative, and Presque Isle Electric & Gas Co-op.

The MPSC analysis showed there were a number of alternative methods that would allow Wolverine to adequately supply its customers at a fraction of the cost of constructing a new coal-fired power plant.

From the Governor’s Office:

Governor Jennifer M. Granholm today signed into law legislation that reforms the Michigan Public School Employees’ Retirement System (MPSERS) and takes a significant step in reducing the long-term structural imbalance in the School Aid Fund. School employees have until June 11 to indicate their intention to retire this summer under the provisions of this act.

“These critical reforms will save more than $3 billion for school districts over the next decade and ensure that we are able to fund education at a level that will help prepare students for success in the 21st century,” Granholm said. “In addition to helping resolve the structural deficit, it also will create thousands of job opportunities for new college graduates eager to teach in Michigan. With this important reform behind us, I look forward to receiving a budget from the Legislature by July 1.”

Under the legislation the MPSERS reforms will save districts nearly $680 million in the 2010-2011 school year and more than $3.1 billion over the next decade. Those figures are based on an estimated 28,000 of the 56,000 eligible school employees choosing to retire between July 1 and September 1, 2010. Specifically, the legislation:

• Provides for a slightly enhanced pension for up to 56,000 public school employees who choose to retire between July 1 and September 1, 2010.

• Beginning July 1, 2010, all MPSERS employees will contribute 3 percent of their salary to be deposited into an irrevocable health care trust in addition to what they already contribute to the pension system. Funds will be used to offset employer contributions for health care costs of current retirees.

• Employees hired on or after July 1, 2010, will be put in a new lower-cost defined benefit/defined contribution hybrid plan.

Governor Granholm first proposed a retirement plan for school employees in January as part of her comprehensive plan to transform state government. It was formally presented to lawmakers on February 11 as part of the 2011 executive budget recommendation.

The legislative package includes Senate Bill 1227 (PA 75) sponsored by Sen. Jud Gilbert (R-Algonac) and HB 4073 (PA 77) sponsored by Rep. Richard Hammel (D-Mt. Morris Township).

The bills were given immediate effect.

The White House hailed this effort as “”the largest environmental and economic development effort for former manufacturing sites in our nation’s history.” The trust will not be relying on new government funding, instead coming from the wind-down funds from the old GM. If approval is granted by state officials and the bankruptcy court, this project will get underway by the end of the year.

Governor Jennifer M. Granholm today hailed the announcement of a landmark federal framework that will invest more than $800 million to speed the cleanup and redevelopment of closed GM plants in Michigan and 13 other states to put those facilities back into productive use. Michigan will garner the most funds of any state under the trust fund.

“Even as we work to finalize the trust agreement, we are extremely pleased the Obama administration is providing tools to help our local communities transform these iconic properties for the new economy,” Granholm said. “This will indeed help turbo-charge our own Project Phoenix program to revitalize communities by reusing idled manufacturing plants.”

Of the 90 sites covered by the plan, 47 are in Michigan. Affected communities include Bay City, Burton, Detroit, Flint, Lansing, Lansing Twp., Livonia, Mt. Morris, Pontiac, Romulus, Saginaw, Van Buren Twp., Wyoming and Ypsilanti.

The framework will allocate $536 million for the cleanup of the properties and approximately $300 million to assist the states and communities in dealing with property taxes, demolition costs, plant security costs, and other expenses.

Michigan’s Project Phoenix program (http://www.michiganadvantage.org/Project-Phoenix/Default.aspx), introduced by the governor in her State of the State address last February, brings the state, current and former property owners, businesses, communities, developers and other parties together to inventory and promote for reuse former manufacturing sites. The program includes buildings of 500,000 square feet or more and land sites of 80 acres or more where former manufacturing facilities already have been demolished.

“If companies are looking to expand or relocate, these properties will be available much sooner than we had anticipated,” MEDC President and CEO Greg Main said. “This is a great day and a new beginning for Michigan. We are especially grateful for the efforts of the Departments of Treasury and Justice, the EPA, and Dr. Ed Montgomery, director of the White House Council on Automotive Communities and Workers.”

Just released from the Governor’s Office:

LANSING – Governor Jennifer M. Granholm today announced that the Michigan Economic Development Corporation (MEDC) is helping four companies grow in Michigan and backing a brownfield redevelopment project in downtown Flint. Combined, the five projects are expected to create 910 new jobs (431 direct) and generate $99.4 million in new investment in the state.

“We are working tirelessly to bring new jobs to Michigan, going anywhere and doing anything to show companies that we have the tools and talent to help them grow,” Granholm said. “Today’s company announcements highlight the positive impact of our aggressive economic diversification plan.”

The Michigan Economic Growth Authority (MEGA) board today approved incentives to win the following projects for Michigan over competing states and countries:

• ConAgra Foods Packaged Foods LLC – The manufacturer of many leading brands of packaged foods, including Healthy Choice, Chef Boyardee, Hebrew National, Hunt’s and others, plans to invest $73 million to expand in Kentwood to grow its private-label snack-bar business and increase its manufacturing capacity. The project is expected to create up to 460 new jobs, including 205 directly by the company. The MEDC estimates increased economic activity created by the project will create an additional 255 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $1.1 million over five years to help convince the company to expand in Michigan over a competing site in Minnesota. The city of Kentwood is considering a 12-year abatement valued at up to $3 million in support of the project.

• Grandpapa’s Inc. – The company specializing in manufacturing, baking, packaging, distributing and shipping of a variety of snack foods plans to invest $4.1 million to expand and renovate a 130,000-square-foot facility in Detroit. The project is expected to create up to 269 total jobs, including 125 directly by the company. The MEDC estimates the increased economic activity created by the project is expected to create an additional 144 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $368,358 over five years to encourage the company to expand in Michigan over a competing site in Indiana. The city of Detroit is considering an abatement valued at up to $347,000 to support the project.

• Proto Manufacturing Inc. – The developer of applications for customers in the aerospace, alternative energy, medical device technology, defense, power-generation, nuclear and automotive industries plans to invest $5.2 million to relocate and expand its operations to a new 18,800-suare-foot facility in Taylor to include in-house laboratory services. The project is expected to create up to 88 jobs, including 46 directly by the company. The MEDC estimates the increased economic activity created by the project may create an additional 42 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $586,814 over seven years to encourage the company to expand in Michigan over competing sites in Ohio, South Carolina, Indiana and Tennessee. The city of Taylor is considering a property tax abatement in support of the project.

• TK Holdings Inc. – Takata Corporation’s North American headquarters, TK Holdings Inc., which manufactures automotive safety equipment including seatbelts, airbags, steering wheels, interior trim and textiles, plans to invest $14.6 million to expand in Auburn Hills in order to allow the company to enhance onsite automotive crash simulations. The company is expected to create up to 78 jobs, including 40 directly by the company. The MEDC estimates the increased economic activity created by the project may create an additional 38 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $766,068 over eight years to convince the company to locate in Michigan over a competing site in Mexico. The city of Auburn Hills is considering an abatement of up to $515,000 in support of the project.

• City of Flint – State and local tax capture valued at $227,786 and an additional $287,115 in local-only tax capture will support a brownfield project that will redevelop two vacant, blighted commercial buildings on the north end of downtown. The buildings were recently demolished to accommodate a new single-story 15,000-square-foot LEED certified office complex; infrastructure improvements include new sidewalks, curbs, lighting, catch basins, landscaping and public parking. The development will be leased to the Internal Revenue Service. The project will generate $2.5 million in new capital investment and create up to 15 new jobs.

“Successful collaboration with our local economic development partners enabled us to win these projects over stiff competition from other states and countries,” MEDC President and CEO Greg Main said.

The Michigan Economic Growth Authority (MEGA), the state’s response to interstate competition for company expansions and relocations, may provide a refundable tax credit against the Michigan Business Tax (MBT) to companies expanding or relocating their operations in Michigan. Since January 2010, nearly 46,500 new and retained jobs have been announced as a result of the MEGA program.

Michigan brownfield programs provide incentives to invest in property that has been used for industrial, commercial or residential purposes and to keep that property in productive use or return it to productive use. Brownfield incentives can be used for functionally obsolete, blighted or contaminated property.

The Michigan Economic Development Corporation (MEDC), a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life.

For more information on the MEDC’s initiatives and programs, visit the website at www.MichiganAdvantage.org.

In this week’s radio address, Governor Granholm talks about the harmful effects that bullying has on students, and urges the legislature to pass a bill that will help schools create a safe environment for our kids.

Hello, this is Governor Jennifer Granholm.

School bullying is not harmless. It can have serious, even deadly, consequences.

Last year, a sophomore at Cadillac High School committed suicide. It wasn’t until after the teenager’s death that it was discovered that he had been harassed and ostracized at school by a small group of students.

And unfortunately, this was not an isolated incident. There are other cases in Michigan and throughout the nation of children who’ve taken their own lives after being bullied.

Bullying is not an infrequent occurrence in our schools. A recent survey of 200 high school students conducted by the Oakland Schools Intermediate School District found that 84 percent of the students surveyed had witnessed teasing, insults or rumor-spreading about another student.

The effects of bullying can be devastating. The Michigan Association of School Social Workers reports that students who’ve been bullied have had their education disrupted and sometimes completely derailed by bullying. The fear created by bullies can increase school absenteeism, decrease academic performance and heighten the risk of suicide.

School social workers also say that for the victims of bullies, the serious emotional and social consequences of bullying are not easily repaired, and they can last for years. And the emotional violence of bullying impacts all students by creating a threatening and hostile school environment.

For students to learn, they need a safe environment. An anti-bullying law will ensure that each of the more than 3,700 public schools in Michigan will have an anti-bullying policy.

I first proposed an anti-bullying law in 2006, and Michigan is one of only eight states without such a law.

In 2007, the Michigan House of Representatives passed anti-bullying legislation known as “Matt’s Safe School Law.” It was so named in honor of Matthew Epling, a young East Lansing student who took his life after being bullied by other students. The law would require every public school in Michigan to adopt a policy that prohibits harassment or bullying at school. But the Michigan Senate failed to pass the legislation.

Matt’s Safe School Law was reintroduced in this current legislative session. We can’t afford further delay. The Legislature needs to send to my desk a bill that will help put an end to harassment and bullying in our schools.

Protecting our young people must be our number one priority. It’s time for the Michigan Legislature to pass an anti-bullying law for our schools. We must do everything we can to prevent the tragedy of teens taking their lives because they can no longer take the bullying.

Thank you for listening.

Just yesterday the House passed this legislation again, and the bill now moves on to the Senate. Contact your Senator here, and urge them to pass this important legislation.

This week marks the return of the “Pure Michigan” ad campaign to television, and Governor Granholm talks about the importance of tourism to Michigan’s economy in today’s radio address.

Hello, this is Governor Jennifer Granholm.

Spring in Michigan marks the return of both warmer weather and the Pure Michigan advertising campaign.

This week, Pure Michigan television ads began running on cable channels throughout the nation, touting the wonders and the beauty of our state. The campaign will run through early July.

With Pure Michigan, we’re marketing our state as a travel destination in a way never done before in Michigan history. And that’s being recognized by others such as Forbes, which named Pure Michigan one of the 10 best travel campaigns of all time.

Tourism is one of the sectors we’ve targeted to help diversify Michigan’s economy and create jobs. And Pure Michigan has been tremendously successful in generating more visitors to our state.

Last year, the national and regional Pure Michigan advertising campaigns motivated two million trips to Michigan from out-of-state. Those visitors spent more than $500 million at Michigan businesses.

The Pure Michigan campaign more than pays for itself. Last summer, visitors from outside the Great Lakes region who were inspired by the campaign to come to Michigan paid $17.5 million in state taxes. That’s a return on investment of $2.23 for every dollar in advertising. The return on investment is even better for visitors to Michigan from other Great Lakes states – for 2009, it was $5.34 for every dollar in advertising we spent.

Funding for Pure Michigan this year is about half of last year’s, because the Legislature could not agree on a permanent revenue source for the campaign. Pure Michigan is vital to Michigan’s tourism industry. We need to find a stable source of funding to keep the campaign going.

And that’s because Pure Michigan is not only great for tourism, it’s also great for Michigan’s image around the country. Pure Michigan gives our state a new and different face, one I’m sure is a surprise to millions of Americans who’ve never been to Michigan and know little about us.

Feedback from people who’ve seen the Pure Michigan commercials bears this out. A gentleman from South Carolina wrote, “I have never thought of Michigan as a tourism destination until seeing your ads.” A California woman said, “We’ve seen your new Michigan television ads. They are awesome – makes me want to move there.”

The Pure Michigan campaign has brought new visitors to our state to bask in its beauty and marvel at its magnificence. It’s also inspired and uplifted the people who call Michigan home, renewing faith in our great state and our future. That’s the power of Pure Michigan.

Thank you for listening.

Here is one of the new television ads, entitled “Perfect Spot”:

Be sure and visit the Pure Michigan Travel Site at michigan.org – there, you will find great ideas for planning a Michigan vacation this year. They feature destinations from all across the state – listing various places to stay, as well as things to see and do while you are here.

Enjoy!