Kalkaska resident Virginia Thomas: “When we retired, we thought we had health care until we died.” (photo by Ted Roelofs) KALKASKA -Seated at her kitchen table, Virginia Thomas confessed she is less trusting than she used to be. Thomas, 75, worked nearly 30 years for the rural northern Michigan Village of Kalkaska, serving as everything […]
Business Watch
Covering the intersection of business and policy, and informing Michigan employers and workers on the long road back from coronavirus. Our Michigan Economic Dashboard shows key metrics that show how the state is performing.
How retirement debt swallowed our towns
Back in the 1950s, when Detroit’s automobile industry ruled, few gave much thought to the long-term price of fringe benefits like pensions or retiree health care. The post-World War II auto boom was a model of modern manufacturing, creating jobs from Detroit and its suburbs to cities like Flint and Saginaw. Factories hummed around the […]
Debt-ridden Detroit has close company
A decade of recession hit one region – southeast Michigan – harder than anywhere else. So perhaps it’s no surprise unfunded pension and retiree health-care debt is concentrated there as well, in a long list of cities that extends well beyond Detroit or Flint. Southeast Michigan is responsible for a staggering 86 percent of the […]
Retirees sweat as courts weigh cuts to pension and health care
It’s a battle cry that began in Detroit and is spreading to other Michigan cities: “Don’t touch my pension.” To that, many of the state’s retired municipal employees are adding another caveat: “And leave my medical insurance alone, too.” With Detroit in bankruptcy court, employees and retirees of other Michigan local governments are watching warily, […]
Economy falters, with no easy answers for Saginaw
Saginaw resident Linda Williams is frustrated that the city no longer mows the vacant lot next to her home. (photo by Ted Roelofs) SAGINAW – Standing by the weed-choked vacant lot next to her home, Saginaw resident Linda Williams had a simple question. “Couldn’t they cut it at least one time?” she asked. “I don’t […]
Searchable database: Legacy costs in your community
Legacy costs are commitments made in the past that will be paid by future generations. The two biggest forms of legacy costs for local governments in Michigan are pensions and health care insurance for retired public workers. Michigan has nearly 1,800 units of local government. Nearly 300 have some level of legacy costs. Two-thirds of […]
As Kalamazoo stalled, its neighbor curbed retiree health-care costs
City Manager Maurice Evans: “In hindsight, I would say city officials were looking at long-term expenses.” (photo by Ted Roelofs) KALAMAZOO/PORTAGE – A quick drive through Kalamazoo and its bordering neighbor to the south, Portage, reveals some obvious differences. Others are less so. Kalamazoo, older and more ethnically diverse, has its share of historic downtown […]
Detroit – coming to a city near you
Grand Rapids resident Cathy Mulder: “If it keeps going that way, we’re going to have less and less.” (photo by Ted Roelofs) As headlines mount for the largest U.S. city to file for bankruptcy, Detroit is now the undisputed punching bag for all that can go wrong in a community. But just how immune […]
Taxing tensions in Troy
Mayor Dane Slater, chosen initially by city council to replace recalled Janice Daniels and then re-elected to finish her term, stands in the Troy Community Center. (photo by Nancy Derringer) Jennifer Hilzinger is one of many Troy residents who sometimes can’t understand what’s going on in her hometown. One minute she’s living in the place […]
Charities and bars claim poker crackdown is a bad deal
Neither side appears to be bluffing as the battle between the administration of Governor Rick Snyder and charity poker rooms continues to intensify. The state Gaming Control Board, which Mr. Snyder put in charge of charity poker room oversight two years ago, released a new set of regulations in July that upset operators of the […]
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