LANSING – A 12-bill package dubbed by proponents as the “Hire Michigan First” plan because it targets economic development incentives to businesses hiring Michigan residents was passed by a mostly bipartisan House on Thursday.
However, main objections to the bills by Republicans remained, namely that the bills don’t require state construction done by unionized workers to meet the Michigan worker requirement and that the legislation doesn’t apply the Michigan worker threshold to goods and services bought by the state.
GOP amendments striking out current law regarding the carve out for employers involved in collective bargaining, as well as adding language to have the Michigan worker requirement applied to the purchase of goods, services and infrastructure by the state were gaveled down by majority Democrats.
Rep. Fred Miller (D-Mount Clemens), the lead bill sponsor, said the state could be sued if it meddled in the collective bargaining agreement of another entity. He also argued the Republican amendment regarding goods and services goes against federal law regulating interstate commerce.
But state Republican Party Chair Ron Weiser attacked House Democrats for not applying the same worker standards to the state as it is trying to do to the private sector under the bills.
During floor debate, Rep. James Bolger (R-Marshall) said allowing construction projects to go to unions that can have workers from other states goes against what the package is all about. Bolger said the legislation looks out for the union’s interest, not the taxpayer, most of whom don’t pay union dues.
Democrats also rejected GOP amendments to delete a reference to “repeatedly” violating the state’s prevailing wage law. In cases of state incentives, the bills require a business to state it will not “knowingly or repeatedly” violate the state’s prevailing wage law.
Miller countered the bills do nothing to change what’s already prohibited under the prevailing wage statute.
The legislative package affects the economic development incentives provided by the state and local units of government beginning July 1.
The bills prohibit the government from providing a certain incentive unless a company states in writing it will not knowingly hire an undocumented worker. Rep. David Agema (R-Grandville) attempted to amend the legislation to require a contractor verify the identity of a worker through the federal government’s E-Verify System, but the amendment was not tacked onto the bill.
Agema said people who provide false documentation, like a Social Security number, could get some of these jobs if their identity isn’t properly verified.
For all incentives, the business would also have to state in writing it will make a good faith effort to hire Michigan workers. For state construction jobs, the legislation increases the threshold for Michigan workers from 50 percent to 100 percent.
And by February 1 of each year, that business would also have to report to the Michigan Strategic Fund on how many Michigan workers were hired and how many new jobs were created.
Proponents like Miller said with the state dolling out $900 million in economic development incentives on the taxpayer’s dime, those workers should have the first shot at any new jobs.
Miller said the reporting requirements will let the state know whether the policies are working and whether the taxpayers are getting their money’s worth.
But Rep. Tom Pearce (R-Rockford) argued the chamber should also keep its focus on job retention, not just job creation. He urged Democrats to take up the phase-out of the Michigan Business Tax surcharge, arguing that will, “tell people who are working today we care as much about them as those who need jobs.”
Sent to the Senate were HB 4083 (82-26), HB 4084 (82-25), HB 4085 (66-41), HB 4086 (66-41), HB 4087 (86-21), HB 4088 (81-26), HB 4089 (81-26), HB 4090 (83-25), HB 4091 (80-27), HB 4092 (75-32), HB 4093 (79-28) and HB 4094 (71-36).
Progress Michigan, the Michigan Education Association and Michigan Change to Win applauded the House votes on the package.
“In these troubled economic times, Michigan families must be able to rest easy knowing that they will have first access to the good-paying jobs generated by Michigan businesses. Majority Leader (Mike) Bishop and all Michigan senators must follow suit with the House and fight to protect hardworking Michigan families all over the state from losing the jobs that they deserve to have,” said Ed Sarpolus, director of government affairs for the MEA.
This story was provided by Gongwer News Service. To subscribe, click on Gongwer.Com
a>>




