Fact check: Republicans spar on AI, DEI in Michigan gubernatorial debate

For the second time in as many nights, Michigan Republican gubernatorial candidates traded attacks in a Thursday debate
Data Centers, AI, DEI and affordability were all on the table as the candidates exchanged views and barbs
The winner of the Aug. 4 primary will face the Democratic nominee in the November election

GRAND RAPIDS — Michigan Republican gubernatorial candidates traded accusations of data center donor influence, “woke” policies and more in another fiery debate on Thursday night.

For the second day in a row, US Rep. John James found himself at the center of attacks from former Attorney General Mike Cox and businessman Perry Johnson, who lobbed criticisms at James on his business and electoral record.

The debate, hosted by WOOD-TV in Grand Rapids, began with some substance, as candidates laid out plans to address affordability concerns without personal attacks. But before moderator Rick Albin could get to his third question, the debate descended into a slugfest.

“Perry’s got more dollars than sense,” James said at one point, noting Johnson has spent more than $60 million on gubernatorial and presidential campaigns but so far has not won elected office. “That should tell you about his priorities, his own vanity campaign.”

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Cox touted his education policy reform proposals but repeated his attacks on James’ business record, which Bridge Michigan fact-checked in Wednesday night’s debate, along with tax cut math claims by various candidates.

Johnson leaned on his plans to eliminate the state’s 4.25% personal income tax and find savings through a “MEGA” audit of state government, while also touting his industry certification business as evidence he can create “quality and efficiency,” a phrase he repeated nine times.

But as with the prior night’s debate, the candidates’ jousting ran afoul of reality at times. Here are the facts:

Data center donors

Johnson, who has faced criticism for previously saying Michigan is an attractive state for data center developers, has since made resistance to the facilities a focal point of his campaign and called for a one-year moratorium.

John James WOOD-TV debate — Republican gubernatorial hopeful John James fired back at his rivals in a Thursday night debate in Grand Rapids. (Michael Buck/WOOD TV8)

James, too, has said new data centers should not be allowed in Michigan until more safeguards are put in place.

But in Thursday’s debate, Johnson suggested James could be influenced by donors with ties to the facilities.

Johnson claimed a donor “spent $107,000” on the James campaign “because that person wanted to build the data center. (The) biggest builder of data centers donated that money to him.”

James clapped back with a dig at the 78-year-old’s age: “I know when you were born, black people could still be bought and sold in this country, but no one owns me.”

Johnson did not respond to that comment at the time but after the debate called it a “shameful attempt” by James “to distract from your favor-based relationship with special interest groups … funding your campaign.”

The facts: Johnson’s data center-related donations claim appears to be based on an article by the Detroit Metro Times, which reported James had received $107,300 in contributions from executives and family members tied to the Detroit-based Walbridge construction company, not one single donor.

The firm, run by longtime GOP fundraiser John Rakolta Jr, is building a massive data center complex in Saline Township.

Bridge Michigan was only able to verify $24,975 in Walbridge-related contributions to James’ gubernatorial campaign this election cycle. According to state campaign finance disclosures, that money came from three individuals: Lauren Rakolta, who is a member of the Walbridge board of directors, along with CEO Michael Haller and his wife.

Data center harms

Johnson also repeated claims he made in Wednesday night’s debate that data center “sound waves will damage babies, and they can travel for a mile.”

Republican gubernatorial hopeful Perry Johnson touted his tax cut plans in a Thursday night debate in Grand Rapids. (Michael Buck/WOOD TV8)

The facts: Noise pollution from hyperscale data centers is one of the most immediate and inescapable impacts of the facilities.

The sound of the cooling equipment and energy generation can be heard from up to two miles away, according to the Sierra Club, and nearby residents have anecdotally reported having headaches and sleeping issues from exposure to the round-the-clock hum.

But the impacts of long-term exposure are not well-studied, nor is it clear that the noise can “damage babies,” though infants have sensitive ears that can suffer permanent damage from exposure to loud noises.

An AI ‘kill switch’?

In response to a question about how to regulate artificial intelligence, Johnson accused James of supporting a Biden-era rule to eventually require anti-drunk driving impairment monitoring in new cars.

“With AI — China, Russia, they can take control of our car, because that goes into the car,” Johnson said. “With AI … they are attacking everything. Every hospital in this country has been hacked, and that is why every Republican in the state voted against continuing to fund that kill switch. Except of course John James.”

The facts: Hospitals are regularly targeted by cyberattacks, but not every hospital in the country has been hacked, and in most cases, they’re targeted with ransomware.

James’ relationship with the so-called “kill switch” is complicated.

John James, Mike Cox, Perry Johnson — From left: John James, Mike Cox and Perry Johnson debated Thursday in Grand Rapids. (Michael Buck/WOOD TV8)

He didn’t vote for the ‘kill switch’ mandate — he wasn’t in Congress yet — but he later voted against a proposed amendment to an unrelated spending bill that would have stripped funding for implementation. He said he did so to pass a spending plan that Trump supported.

Still, the proposed technology (which does not yet exist) would not necessarily be AI-powered, as Johnson suggested, nor would it include access for Russia or China to remotely control the vehicles.

DEI Claims

Seeking to woo Republican primary voters, candidates also traded barbs over ties to the kind of diversity, equity and inclusion initiatives that President Donald Trump has used the federal government to fight.

Johnson claimed James got “an award from DEI” because the family business he helped run before joining congress is “very woke.”

James responded in kind, claiming Johnson is “talking out of both sides of his mouth” because a branch of his international registrars company is “the Italian standard for woke”.

The facts: There is some evidence to support each claim, though Johnson was not in charge of his company’s daily operations at the time when its pro-social justice policies were implemented.

Johnson may have been referring to recognition that James Group International received from Corp! Magazine in 2015 and 2021 as part of their “salute to diversity awards.” James was CEO of one of James Group’s subsidiaries, Renaissance Global Logistics, from 2012 until he entered the US House in 2023.

In 2021 the magazine noted the firm’s “recruiting efforts are focused on staying within Detroit and the surrounding areas, which benefits individuals of underrepresented demographics,” and that the majority of the workforce was non-white. James was not serving in the business’ leadership at that time.

When Bridge asked James’ campaign for evidence of his claim about Johnson’s company, a super PAC supporting James responded with a gender equity policy document previously adopted by the Italian firm.

Energy costs

James went on the attack himself several times, questioning Johnson’s age and political spending and Cox’s tenure as attorney general from 2003 to 2011.

“Mike Cox brags about cutting energy rates, but when he was AG, energy costs for ratepayers went up 50%,” James said.

The facts: James was responding to Cox’s claims that he’d fought rate hikes as attorney general, which he did. Objecting to proposed energy rate hikes is a common function of attorneys general, one which Democrat Dana Nessel has continued.

But rates nonetheless increased under both Cox and Nessel, who were at times able to lower proposed rate increases but not stop them, as approved by the governor-appointed Michigan Public Service Commission.

In the Detroit region, for instance, energy prices increased from 9.1 cents per kilowatt-hour in 2003 to 13.4 cents by the end of 2011, according to Federal Reserve data. That was a 47% increase, roughly equivalent to the 50% James claimed.