Gov. Snyder Proposes Local Government Reforms

[+EdwardGlen]

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http://www.theoaklandpress.com/articles/2011/03/21/news/local_news/doc4d8801655c7a6958923864.txt?viewmode=fullstory

 

Gov. Rick Snyder on Monday proposed to change revenue sharing that bolsters local government budgets, do away with minimum manning requirements in local charters and stop state laws that cost money from taking effect unless the Legislature finds a way to pay for them.

 

Snyder outlined his local government reform proposals in Grand Rapids Monday morning and afterwards by phone to The Oakland Press.

 

The “special message” on local government reforms was one of two he promised when he presented his proposed state budget to lawmakers in mid February.

 

Another special message on education reforms is expected in April.

 

“It’s a shared sacrifice model,” Snyder said. “We all need to take a step back so we can all move forward together.”

 

Democrats in the Republican-controlled legislature weren’t buying into the governor’s message.

 

“Just like his budget and tax plan, the governor’s special message today avoids addressing the number one issue in Michigan — job creation,” said state Rep. Vicki Barnett, D-Farmington Hills.

 

“Instead, he continues his attack on middle-class workers by requiring communities to slash employee salaries and benefits in order to receive the statutory revenue sharing they need to survive,” Barnett said. “Gov. Snyder’s hypocrisy on this issue is astounding and insulting.”

 

But Snyder’s message brought immediate support from Business Leaders for Michigan, the state’s business roundtable.

 

Doug Rothwell, president and CEO, said: “We applaud the Governor for his push to eliminate the barriers that hinder local communities’ ability to stretch every dollar farther.

 

“Service sharing will not only save money, but reduce the divisiveness that has plagued Michigan from acting in a unified manner in the past.

 

“Eliminating outdated laws that discourage communities from taking steps that make the most effective use of their limited resources such as consolidating or sharing services with neighboring communities is an important step forward,” he said.

 

In a nutshell, Snyder proposed:

 

■ Establishing an Economic Vitality Incentive Program to replace statutory revenue sharing to local communities and fund it with $200 million to be awarded to communities that qualify for more than $6,000 a year and which show they pursue “best practices.”

 

The governor defined best practices as showing accountability and transparency, service consolidation and employee compensation cost controls.

 

■ Amending the Public Employment Relations Act so that the consideration of an intergovernmental cooperation agreement by local governments is not considered an unfair labor practice.

 

“What can happen today is that if a jurisdiction talks to another jurisdiction about service and consolidation and they didn’t notify their union, even if it’s very preliminary, that arguably can be an unfair labor practice,” Snyder said.

 

■ Adjusting the timing of collective bargaining. The governor said state laws should be amended so that upon a merger of services, management and employees immediately begin the collective bargaining process for the new shared entity.

 

“There’s issues with the Urban Cooperation Act and two or three related acts that essentially requiring that you keep the old systems in place at essentially the highest cost level until those agreements are up,” Snyder said. “When you go through a service consolidation, our view is that you kick off the bargaining process to say, ‘Shouldn’t it be negotiated out in good faith between all parties?’”

 

■ Reform binding arbitration for public safety workers so that a community’s ability to pay is a fundamental factor in an arbitrator’s decision. Snyder also wants an arbitration process that takes no longer than 90 days.

 

■ Prohibit any new city, village or county charters from containing minimum employee staffing requirements. The prohibition would apply to new amendments to existing charters as well. Staffing levels should be part of the collective bargaining process.

 

Minimum manning for firefighters exists in Pontiac and wouldn’t be affected by the proposed changes, Snyder said.

 

“We wouldn’t allow any real changes other than eventually, if people wanted to get rid of them, that would be fine,” the governor said. “Other than that, we don’t want more minimum staffing requirements because I believe that they should be a subject of bargaining and negotiations.”

 

■ Make local pension boards subject to transparency and accountability rules. Snyder proposes that anyone contributing to government officials who are in a position to influence a pension board’s decision be prohibited from conducting any business with the board for two years. Snyder said this would end existing “pay to play” practices.

 

■ Amend Public Act 101, which implemented the Headlee Amendment to the state Constitution. That amendment requires the state to pay for mandates to local governments that cost money, but local governments claim it is often ignored.

 

Snyder proposes that new laws will have no force or effect until the financing is worked out.

 

“What we’re trying to do in Michigan, and what I’m trying to be as governor, is be a problem solver,” Snyder said. “It’s not about picking fights with anyone.

 

“We have a crisis in our state,” he said. “We’ve been an economic disaster, our government is broken and we need to work constructively with all parties, and I’m asking them to come to the table and have a constructive positive dialog.”

 

Snyder, a Republican who took office Jan. 1, has proposed tax changes, spending cuts and government reforms in his bid to “reinvent Michigan.”

 

Contact Charles Crumm at 248-745-4649, charlie.crumm@oakpress.com or follow him on Twitter @crummc and on Facebook. More information is at oaklandmichiganpolitics.blogspot.com.

 

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