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Conservative News, Cronyism, Democrats, Detroit, Government Incompetence, Michigan, Michigan Politics, Part Time Legislature, Republicans

The DPS Bailout – The Bankruptcy Alternative Not Taken

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Part I - No, The Richmond USD Case Did Not Challenge U.S. Bankruptcy Court Authority

Daniel Howes ImageGovernor Snyder browbeat the Michigan Legislature to approve the $ 617 million bailout of Detroit Public Schools which he signed today by regaling them with a parade of horribles which would occur if the bailout was defeated and DPS was forced to file for bankruptcy. Daniel Howes regurgitated Governor Snyder’s compelling tales of impending doom delivered behind closed doors in a Detroit News article, but was any of it true?

Right at the top of Governor Snyder’s parade of horribles was the Federal bankruptcy filing of the Richmond [California] Unified School District on April 19, 1991 . Governor Snyder portrayed the outcome of this action as the U.S. Bankruptcy Court denying the petition and ordering the State of California to financially bail out the district.  From Daniel Howes’ article:

There is scant precedence for school districts filing for bankruptcy, the Snyder administration found. In 1990, according to an administration letter to state Rep. Laura Cox, R-Livonia, the Richmond Unified School District in Northern California filed for bankruptcy because of $42.5 million in debt. The judge ruled the district could not be protected by the court in bankruptcy and ordered the state to provide the district with operating funds.

Nothing could be farther from the truth.

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Elections, Michigan, Michigan Politics, Part Time Legislature

Absentee Voter Ballot Applications Available Now

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You Can File One Form For Both The State House Primary and the Presidential/General Elections

Michigan Capitol ImageThe standard form required to request an absentee ballot in the upcoming August 2nd Michigan primary and November 8th general elections is now available online as a .pdf file here. The large print version of the application for the visually impaired as a .pdf is here. Completing and filing this application also gets you the ballot(s) for any local candidates and/or issues also voted on in August and November.

Absent Voter Ballot Application Header
Just download this application form, fill it out, and mail it to your clerk.

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Conservative News, Cronyism, Democrats, Detroit, Elections, Government Incompetence, Michigan, Michigan Politics, Part Time Legislature, Rent Seeking, Republicans, Taxes

Democratic Socialism Comes to Southeast Michigan

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RTA Funding Could Buy All Their New Riders New Cars, And Pay For Their Fuel and Insurance To Boot!

RTA Transit Map aThe new Regional Transit Authority of Southeast Michigan is out today with their transportation master plan to soak taxpayers in Macomb, Oakland, Washtenaw, and Wayne Counties for another $ 3.3 billion in property taxes over a 20 year period.Michael Ford Smiling RTA CEO Michael Ford released the regional mass transit plan RTA will submit to voters on November 8th under PA 387 of 2012. A 1.2 mill property tax increase and $ 1.7 billion in new Federal & State subsidies will provide four new bus rapid transit lines, 11 cross county connector lines, one regional rail line, and some extended/intensified local service.

Let’s have some fun by subjecting the new RTA regional mass transit plan to some real, pre Common Core, mathematics.

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Cronyism, Democrats, Detroit, Government Incompetence, Michigan, Republicans, Taxes

Blowback

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When A Devious, All Too Clever Plan Goes Awry

Rhodes Image 1aRetired U.S. Bankruptcy Court Judge Steven W. Rhodes got just a bit too clever in his latest ploy to stampede the Michigan Legislature. He is trying to ram a $ 720 million bail out for the Detroit Public Schools through the Legislature, but wound up creating a labor relations firestorm. He even managed to grievously damage the prospects of the bail out in the Legislature. As always, it is the DPS students who are suffering the fallout.

Judge Rhodes, the DPS ‘transition manager’, sent out an email on Saturday telling all and sundry that DPS would have no money to pay teachers after June 30th. He urged Michigan lawmakers to “act thoughtfully, but with the urgency that this situation demands”. The Detroit News later reported:

Rhodes, who warned over the weekend the district would run out of money June 30 and stop making payroll for employees who get paid over the summer, urged employees, parents and others Monday to press lawmakers to pass the rescue plan.

Rosen ImageThis is a reprise of the successful panic tactics he and his buddy U.S. District Judge Gerald E. Rosen developed to force acceptance of the phony Detroit bankruptcy Plan of Adjustment. This effort, celebrated by Michigan’s nitwit media, left a smoking, $ 491 million crater in Detroit’s post bankruptcy finances. Mayor Duggan has been reduced to chiseling money from demolition contracts. Don’t forget that the $ 720 million bail out plan also turns total, absolute DPS control over to Mayor Duggan and his crack team of demolition contract negotiators. Out of the frying pan and into the fire we go.

This is how Michigan’s devious elites now get what they want, when they want, from an embarrassingly slow and cantankerous constitutional government process which they despise.

Whoopee Ti Yi Yo, Git Along Little Dogies

Some boys goes up the trail for pleasure,
But that’s where you get it most awfully wrong;
For you haven’t any idea the trouble they give us
While we go driving them all along.

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Cronyism, Democrats, Detroit, Government Incompetence, Michigan, Michigan Politics, Part Time Legislature, Proposal 15-1, Republicans, Taxes

Forensic Audit – Now!

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Rhodes Image 1aRetired U.S. Bankruptcy Judge Steven W. Rhodes, now the Detroit Public Schools’ ‘Transition Manager’, just let another financial whopper out of the bag. Detroit Public Schools received about $30 million in U.S. Department of Education reimbursements for the pensions of grant-funded employees, but failed to forward those federal funds to the Michigan Public School Employees Retirement System. So DPS owes MPSERS $ 30 million dollars, give or take. They are ‘negotiating’.

DPS officials knew of this funds misappropriation in December 2015. Judge Rhodes knew “in March 2016”. Before or after the Michigan Legislature got suckered into passing HB 5296 and HB 5385, the DPS emergency bailout and purported financial review commission?  HB 5296, the $ 48.7 million emergency DPS bailout, cleared the Michigan House on 17 March and the Michigan Senate on 24 March. Governor Snyder signed it as Public Act 54 on 12 April.

Did anyone in Lansing know that 60% of the PA 54 DPS bailout was headed straight to the MPSERS?

If so, why did they not share this little detail with the rest of the Legislature and the public prior to the passage of HB 5296?

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80th District Special Election (2015), Conservative News, Democrats, Elections, Government Incompetence, Michigan, Michigan Politics, Part Time Legislature, Republicans

Irony

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i·ro·ny (ī′rə-nē, ī′ər-) Incongruity between what might be expected and what actually occurs. An occurrence, result, or circumstance notable for such incongruity.

Lansing City Hall & Court ComplexMichigan House Speaker Cotter just lost a round in the Courser/Gamrat felony criminal case preliminaries. Ingham County District Court 54-A Judge Hugh B. Clarke Jr. ruled Friday it would be “patently unfair” for Gamrat’s and Courser’s attorneys to not have an opportunity to question Cotter in their defense:Judge Hugh Clarke, Jr.

“Without answers to these questions, the Court cannot adequately balance the rights of the Defendants against the right of the Speaker to be free from being compelled to testify,” the order states.

“To make this decision, the Court believes an in camera hearing with counsel for the Defendants, Speaker Cotter and his attorney is warranted. This procedure would allow the court to properly balance the interests of the Defendants against the privilege sought to be accorded Speaker Cotter.”

Speaker Cotter has been claiming immunity under Public Act 27 of 1984 in Judge Clarke’s courtroom:

“AN ACT to provide immunity from civil action to members of the legislature of this state for acts done pursuant to duty as legislators; to prohibit members of the legislature of this state from being made parties to contested cases or other administrative proceedings for acts done pursuant to duty as legislators; and to provide for certain exemptions from subpoenas.”

Specifically Speaker Cotter is claiming immunity from a subpoena ad testificandum under the third section of PA 27 of 1984

MCL 4.553
Subpoena as to statements made by legislator
Sec. 3.
A member of the legislature shall not be subject to a subpoena for any matter involving statements made by the legislator pursuant to his or her duty as a legislator.

The issue here will be that the legal action against Courser and Gamrat in Ingham County District Court 54-A is a criminal action, specifically a felony action, not a civil action. Speaker Cotter is claiming immunity under a statute which pertains to civil actions, not criminal actions.  Michigan’s legislators have no constitutional or statutory relief from subpoenae in felony matters.

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Conservative News, Cronyism, Democrats, Elections, Flint Water Fiasco, Government Incompetence, Michigan, Michigan Politics, Republicans

Bad Optics = Serious Political Jeopardy

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Proper Prior Political Planning Prevents..............

Snyder ImageOur zillionaire Governor is hitting up the Michigan Treasury for $ 1.5 million to cover the cost of really excellent lawyers who are mounting his criminal defense in the Flint water fiasco. Yesterday, he suggested that the two MDEQ employees criminally charged in the Flint water fiasco will no longer receive State paid legal representation. The State had been paying for outside counsel for Stephen Busch and Michael Prysby since AG Schuette stripped them of direct state assistant AG legal counsel in February.

Apparently, the distinction here is actually being criminally charged. Snyder hasn’t been, but Busch and Prysby just got charged.. AG Schuette could not resist piling on with the same common law misconduct in office felony charge used against Courser and Gamrat, but the actual substance of the statutory charges here are lying and tampering with evidence.

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Conservative News, Democrats, Government Incompetence, Michigan, Republicans, Taxes

April 15th, A Day That Lives In Infamy

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The Ship RMS Titanic Sank This Day in 1912

RMS Titanic Image 2The RMS Titanic broke in half and sank at 02:20 AM zulu on this day in 1912. Should never have happened, but metallurgists of the day didn’t understand the adverse effect of phosphorous upon the ductile to brittle transition temperature of steel.  Today the Titanic rests at the bottom of the Atlantic Ocean at Latitude 41° 43′ 57″ North, Longitude 49° 56′ 49″ West, over 12,000 feet underwater.  1,514 men, women and children perished, only 710 survived.  May they all rest in peace.  The last Titanic survivor died in 2009.  Not the worst maritime disaster in history, but the one seared into the conscience of the English speaking world.

Most of us, however, associate April 15th with the annual deadline for filing your U.S. and Michigan personal income taxes. Just how much money is extracted in personal income taxes on this fateful day?

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Conservative News, Democrats, Detroit, Elections, Flint Water Fiasco, Government Incompetence, Michigan, Michigan Politics, Part Time Legislature, Republicans

21st Century Education Commission

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This Summer's Dog and Pony Shows Commence With A Brazen Common Core Promotion

Dog and Poney Show Image 4Governor Snyder announced his 21st Century Education Commission in Executive Order 2016-6 last week. According to his press release:

“The commission will be responsible for analyzing top performing education systems in the nation, identifying issues impacting Michigan’s academic success, and recommending changes to restructure Michigan’s education system.”

You will be forgiven for harboring suspicions that this is another vehicle to promote Common Core. It is. Same type of political сове́т that did such a fine job promoting Proposal 2015-01.  Remember TAMC?  This playbook is getting old.

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80th District Special Election (2015), Conservative News, Cronyism, Democrats, Detroit, Elections, Flint Water Fiasco, Government Incompetence, Michigan, Michigan Politics, Part Time Legislature, Proposal 15-1, Republicans, Taxes

RICO !!!

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It's Spring and Lawsuits Are Busting Out All Over

Blind Justice Image 3Just a few short weeks ago, it appeared that the Presidential race and State House elections would dominate political news in Michigan for the rest of the year. Now it appears that courtrooms in Detroit and Lansing will provide compelling political drama as well. Drama which is going to cost Michigan taxpayers a bunch of money.

There have been a number of lawsuits filed over the Flint water fiasco (over 71!), but yesterday a consortium of law firms filed a Federal class action lawsuit on behalf of Flint residents using the 1970 Racketeer Influenced and Corrupt Organizations Act. This represents a whole new level of legal pain. Civil RICO provides for treble damages when a pattern of racketeering is proven to have occurred over time. It also guarantees the plaintiffs’ lawyers fees, a small fact which assures that civil RICO lawsuits will be pursued with enthusiasm to the bitter end. Conviction applies the stigma of typical previous RICO defendants, such as mobsters and drug kingpins, to a losing defendant. Michigan, at large, is a defendant in this suit. Capisce?

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