Archive for the ‘James Melton’ Category

James Melton

While it is fashionable these days to engage in vitriol and vilification of the political “other side,” I am having a hard time thinking of Willard Mitt Romney as truly evil. Really.

Sure, I cringe when I think about having a private equity guy in the White House. I know enough about that business to realize that it can be creative and helpful or deeply cold-blooded and destructive. Romney’s work at Bain Capital apparently included plenty of both kinds of deals. That makes me uncomfortable. But it’s a big jump from knowing that to believing that one can divine what’s in a man’s soul. People are complicated, Romney more so than most.

Along with his shortcomings, Romney has some very good qualities – as a candidate and as a person – that make him by far the best Republican in the presidential field. None of those qualities make me want to vote for him in the fall, for reasons I will explain shortly. But even so, it’s worth noting some of them:

• Romney is no ideologue: Like Ronald Reagan, Romney has a strong pragmatic streak. As governor of Massachusetts, he was willing to pair spending cuts with revenue increases by raising fees and closing loopholes in the state tax code. That does not endear him to Tea Party activists. But a “cuts only” approach to fixing the Massachusetts budget would have been a nonstarter. Mitt chose to get things done.
• He made health care a priority: “Romneycare,” seen as Romney’s biggest vulnerability in the primaries, was actually a ground-breaking achievement. It is not the approach I would have chosen to provide near-universal health care in Massachusetts. But, for the most part, it worked and provided a template for the national Affordable Care Act. Read the rest of this entry »

James Melton

Michigan Senate Democrats are swinging for the fences. The Dems want to offer tuition-free higher education to qualified young people who graduate from the state’s K-12 system – and they want to pay for that by repealing corporate tax breaks.

At first blush, that might sound like a hippy-dippy fantasy dreamed up in the tents of the Occupy Detroit movement. It also could be the best thing that ever happened to free enterprise and entrepreneurship in this state since Henry Ford learned to use a wrench.

Under the proposal, called Michigan 2020, Michigan high school graduates would be eligible to receive a grant for tuition and other costs at one of Michigan’s public community colleges or universities. The price tag for the plan, which is based loosely on the Kalamazoo Promise program, is estimated to be about $1.8 billion per year. That money, the backers say, could come from closing “the loopholes that allow companies to avoid paying taxes.”

In an announcing of the plan, Senate Democratic Leader Gretchen Whitmer said in a statement, “It’s time for us to be bold and there’s no better place for us to start than by giving each and every child in Michigan the chance to compete in the 21st Century job market.”

Well it is bold – and that is one reason why Michigan 2020 probably has no chance of being passed as-is in the current state Legislature. It probably should not be passed unless taxpayers can be sure the tuition grants would go only to students prepared to succeed in college. However, the instinct behind the proposal – that Michigan needs to invest in its young people if it wants to avoid the status of economic backwater – is absolutely correct.

Michigan is not attracting or creating enough of the high-growth companies that one finds in places like Boston or Silicon Valley. As things are now, there is no level of tax reduction or deregulation that will help. It’s not a “low-tax, low-regulation environment” that keeps Apple in Cupertino, Google in Mountain View, or Facebook in Menlo Park. It’s the workforces those places (all in tax-heavy, highly regulated California) can provide.

Now, sure, there is something of a chicken-and-egg dynamic at work. Many of Cupertino’s college grads are there because of Apple and its high salaries. But that does not change a basic fact: Michigan competes for investment and talent with a lot of places where “brain drain” is not a problem on the lips of policy makers.

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James Melton

The end of Prohibition started in the states. If a ballot initiative here in Michigan is successful, Michigan could lead the nation in helping to put marijuana laws in the same dustbin of history where the federal ban on “demon rum” now resides.

A Detroit-based organization wants to put a constitutional amendment on the ballot that would eliminate all state laws against the cultivation, use, sale and distribution of cannabis plants to anyone over the age of 21. While I am dubious about the measure’s chances of making it to the ballot and passing, I think it is worthy of debate and serious consideration.

As I wrote in a previous column, I am not a marijuana smoker and think regular, recreational use of the drug should be discouraged. Based on what I have seen, I believe immoderate marijuana use is a destructive habit. It can be psychologically addicting and sap the ambition and creative energy out of heavy users. However, I also have seen how helpful cannabis can be for very sick people and I am enough of a civil libertarian to think adults should be allowed to make their own decisions about pot.

I also am persuaded that, whatever one thinks about marijuana, its use is not likely to be stamped out any time soon. On its website, Committee for a Safer Michigan, the group organizing the ballot initiative, says the elimination of “marijuana prohibition” would reduce criminal gang activity; make it easier to restrict access to marijuana by minors; create jobs; save the state money; and free up law-enforcement resources to fight violent crime.

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James Melton

Determined to keep Michigan on the frontlines of the nation’s divisive, unnecessary culture wars, Republicans in the state government have found another way to single out a group unpopular with their base. Fresh off their success in banning domestic partnership benefits for public employees – a move seen as a victory against the “gay agenda” – they’re now focusing on welfare recipients.

House Bill 5223, introduced last month by Rep. Jeff Farrington, R-Utica, would require applicants for cash assistance to pass a drug test. Those who failed or refused the tests would be deemed automatically ineligible. Those who passed could receive welfare payments if they met all of the other requirements, but the cost of the tests would be deducted from any benefits received.

A similar plan is under consideration by the Michigan Department of Human Services. In that case, actual tests would be administered only to those who failed a “screening” process of some kind.

The ostensible reason for either policy is that we would save money. The thinking goes like this: Because everybody knows welfare recipients are heavy drug users, widespread screening would be a good way to reduce the number of people on assistance. Such a plan also would, in theory, provide a powerful incentive for those on the dole to get clean and stay that way, enhancing their employment prospects.

Sounds reasonable, right?

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James Melton

I have, for a long time, been a fan of encouraging local units of government to share services, or even consolidate with each other, where that makes sense. I have argued, for example, that the metro Detroit region ought to share police.

But even for a let’s-all-work-together guy like me, a proposal to put all of Michigan’s state-supported universities under the control of a single governing board is nerve-racking. The idea – and really, that’s all it is at this point – is moving slowly though the state Legislature. I think that’s the right pace. Any attempt to fast-track a Lansing takeover should be discouraged because, in this case, doing the wrong thing could be far worse than doing nothing.

While Michigan’s university system is probably more expensive than it needs to be, it is far from broken. It is, in fact, something our state should be very proud of – and the best asset we have if we are serious about creating a diversified, knowledge-based economy. Not only do they train people for jobs that actually exist, our universities are important research factories that keep Michigan in the game in terms of creating and commercializing new technology.

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James Melton

Jamie Dimon wants you to know that he’s not a bad guy and wishes people would stop picking on him and people like him.

Speaking at an investors’ conference in New York recently, Dimon, CEO of JPMorgan Chase & Co., said: “Acting like everyone who’s been successful is bad and because you’re rich you’re bad, I don’t understand it. Sometimes there’s a bad apple, yet we denigrate the whole.”

You’re right, Mr. Dimon, you don’t understand it. If you really think the rise of Occupy Wall Street and the rest of the “99 percent movement” is about demonizing individuals or denigrating the notion of success, then you really are missing the point.

The angst we see in the country today isn’t so much about “hatin’ the playas,” it’s about “hatin’ the game.” By “game,” I don’t mean capitalism, but the way capitalism has been used in recent years to further enrich people who were already wealthy, while the incomes of those in the middle class have stagnated or declined in real (after-inflation) terms. We see that not only in the Occupy movement, but in the Tea Party as well.

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James Melton

The unemployment rate in Michigan is 10.6 percent. So, can anybody explain to me why some Michigan politicians think attacking the gay community should be a priority?

As Michigan works to claw itself out of the hole it fell into during the greatest recession since the Great Depression, some of our state and local officeholders want to send the world a message. That message is that Michigan is open for business, we want your investment dollars and your 21^st century jobs and, oh yes … one more thing: We’re pretty darned intolerant when it comes to gay people.

Late last week, state legislators sent Gov. Rick Snyder a bill that would ban domestic partner benefits for unmarried public employees in the state. The bill would affect the live-in partners of all unmarried employees, straight or gay. But the main targets are homosexual couples who are not only unmarried, but unlikely to get married any time soon, thanks to a constitutional amendment approved by Michigan voters in 2004.

Snyder – who is smart enough to know what kind of message this kind of legislation sends to the world – is expected to sign the bill anyway, after a review period.

University of Michigan President Mary Sue Coleman has said she fully expects the university to lose employees over this if the bill is deemed to apply to state universities. In a statement Coleman issued prior to the bill’s passage, she wrote “employees currently responsible for providing health coverage for their families may well leave, and other top candidates will choose not to come.”

This action is bad enough on its own. But the measure was not passed in a vacuum. It is happening within the context of a nonsensical culture war we really don’t need to have.

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James Melton

As the financial crisis of the City of Detroit has played itself, a lot has been written about the city’s “corrupt city government.” Casual observers might be left with the impression that theft and mismanagement are the roots of Detroit’s budgetary problems. I wish it was that simple, but it isn’t.

If “rampant corruption” was the primary problem, then I could believe that the solution would be to simply turn on the Bat Signal. We could call in the Caped Crusader (or a financial manager) and locate hundreds of millions of dollars – hidden under rocks, inside mattresses or deposited in Swiss bank accounts – that could be used to balance the budget. But that’s not going to happen.

To be sure, Detroit’s politicians have not helped the situation. There is reason to believe that the feds, which have been handing down corruption indictments for about a year now, are not finished yet. And one could cite decades of bone-headed decisions made by Detroit mayors and city councils that have contributed to today’s budget mess. Despite all of that, Detroit’s biggest problem isn’t corruption, or even incompetence.

What makes the city’s problems so hard is the harsh reality of operating a government – any government – in these times, especially in Michigan. Along with all other municipal and state governments, Detroit is feeling the impact of a recession that was deeper than anyone realized at the time and a recovery that is taking longer than rebounds from regular recessions take. Those factors overwhelm anything former Mayor Kwame Kilpatrick could have done to it.

For an example, let’s look at Detroit’s pension funds. A lot has been written lately about Detroit’s “unsustainable” legacy costs. The problem would be easily solvable if the shortfalls in pension and benefit funding could be attributed to greedy public officials stuffing their pockets with cash. The real story, however, is far more complicated and in no way limited to Detroit.

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James Melton

It’s a vicious cycle. The municipalities that have the most need for good police protection are often the least able to pay for it. So what happens? Crime fighting is inadequate, a lot of people and businesses move away and the situation gets worse. Then crime spreads to neighboring areas, people move away again, and . . . lather, rinse, repeat.

That’s about to happen again in Southeast Michigan unless regional and/or state-level action is taken to stop it. As I write this, Detroit is contemplating the layoff of hundreds of police officers – a move that could reverse impressive progress the city has made in reducing overall violent crime. Meanwhile, the much-smaller Inkster Police Department just announced it will lay off 12 officers, leading to fear that criminals there will see an opportunity and take it.

Those are just the latest examples of a trend toward reducing police protection where it least makes sense to do so – simply because local city budgets are tight and money to pay for more officers is not there. You can score one for the crooks; that is, unless we develop a regional approach to police funding that is less vulnerable to budgetary problems of any particular community.

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James Melton

Here is the thing about pessimism: It doesn’t get you anywhere. Throwing up your hands and declaring the hopelessness of social problems and policy conundrums does not make them go away. It certainly cannot solve anything.

That’s why it is disheartening when folks like Nolan Finley, who ought to know better, imply that the state’s largest city is simply doomed and there is nothing that can be done about it. In a Nov. 20 column, Finley, editorial page editor of the Detroit News, invoked the notion of the “end times” to describe Detroit’s current financial situation. At this point, Finley wrote, “Detroit’s fate seems tragically sealed.”

That kind of primal scream might be satisfying to those who see Detroit mainly as problem to be disposed of, rather than a challenge to be embraced. But it’s not realistic or helpful. Detroit isn’t a fall maple leaf that will dry up and blow away. On the contrary, Detroit makes up the roots and the trunk of its metro region and state – and is not going anywhere.

Why do I say that? It’s not just because I happen to live there.

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