The Politics of The Plan: The Michigan Republican Wish List Starts With Stabenow’s Senate Seat

On March 14, 2011 the Michigan 15th District Republican Party held a fundraiser in the heart of Ann Arbor, at Weber’s. The sold-out event, attended by some 385 people, was organized by 15th District Republican Party Chair Margy Van Houten, a city Council member from Dearborn Heights, and featured Republican Governor Rick Snyder as the main speaker of the evening. Event sponsors included former Second Ward Republican Council member Jane Lumm and her husband John, as well as the Washtenaw County Republicans, the Wayne County Republican Committee, Wayne 15th District Republican Committee, 14th District Republican Committee, Ahmar Iqbal and Dr. Said Issa, among others.

To kick off the evening “over 50 people,” according to Van Houten, paid $250 each and spent about 30 minutes mingling with Governor Snyder in a cordoned off area. At the same time, the other attendees who’d paid $50 each for dinner and to hear Snyder speak, filed into the ballroom.

Ahmar Iqbal, an event sponsor, is a U of M graduate who also holds a degree from Harvard. He the CEO of Maize and Green Capital Partners, a company that invests in green technology firms. Iqbal became active in the Republican party just this year. Prior to that, he said, “I probably identified myself as a Democrat. Then, I got excited about Governor Snyder’s campaign.” Iqbal explained that he worked to get Muslim friends and relatives, many of whom identified as Democrats, excited about Snyder’s message, which Iqbal described as “universal.”

Margy Van Houten attributed the success of the fundraiser to the fact that Snyder was delivering the keynote. Van Houten said she was excited that Snyder was “finally facing our [Michigan’s] problems,” and that she felt he had a “solid plan to get Michigan back on track to prosperity.” Van Houten also talked about Dr. Rob Steele, who attended the event. Steele ran against Democrat Representative John Dingell for the 15th District Congressional race, and came away with 40 percent of the vote. “He [Steele] was, by far, the best candidate we had,” Van Houten said. She also said that she hoped Steele would consider another run because, she said, “he excited a lot of people, including Democrats.”

Rob Steele said that he’d come out to hear “his neighbor, Rick Snyder.” He also talked about the possibility of running against U.S. Senator Debbie Stabenow in 2012. “I haven’t decided anything yet,” said Steele, “but I’m definitely looking at it. People are talking to me about running again.” A February 28, 2011 poll of likely voters by EPIC/MRA showed Stabenow with an approval rating of just 47 percent. Politico.com reported that the results of the poll, “reinforces Sen. Debbie Stabenow’s vulnerability in 2012.” In a December 2010 piece published in the Washington Examiner, Stabenow was referred to as one of the nine “most vulnerable Senate Democrats.” Michigan’s new Republican Party Chair, Robert Schostak, in his introduction prior to Snyder’s speech, told the audience that one of the “goals” of Michigan’s Republican Party is “beating Debbie Stabenow.” Other goals outlined by Schostak, who took over leadership of the party this year from Ron Weiser, included keeping the State House majority, and delivering Michigan to the Republican presidential candidate in 2012.

Responding, perhaps, to intense criticism in the state and national press about what many in Michigan perceive as Snyder’s attack on poor working families in his proposed budget that targets the Earned Income Tax Credit, and cuts to education, Schostak made a point to tell those present that, “this Governor cares for Michigan families. He and his family care about yours and mine.” Earlier in the day, local Ann Arbor political and education leaders had rallied against Snyder’s budget. The Ann Arbor event was one of multiple events sponsored by Progress Michigan in Michigan cities including Detroit, Lansing, Kalamazoo, Grand Rapids, Saginaw, Monroe, Mount Clemens, Marshall and Birmingham.

Bonnie Halloran, an adjunct faculty member at the University of Michigan-Dearborn and president of the 1,800 member Lecturers’ Employee Organization, spoke out against Snyder’s proposed 15 percent cut to higher education at the Ann Arbor event. According to AnnArbor.com, Halloran told those present, “This is going to impact families in this state, families who are no longer going to be able to afford to pay for their children’s education at our public universities.”

Snyder, who began his speech early, spoke at length about his plans for the state in 2012. The Governor told the audience that his administration stands for “real action for real people.” He characterized the protests in Lansing as “real democracy,” but then dismissed the groundswell of anger against his proposed budget by saying, “I’m just doing what I said I was going to do.”

Snyder, of course, was criticized during his campaign by his Democratic opponent, Lansing Mayor Virg Bernero, for “rarely saying what he plans to do.” Snyder was similarly criticized after his State of State Speech for neglecting to provide specifics. Writing in the Detroit News, Francis X. Donnelly in a piece published on January 20, 2011, reports, “Michigan residents, including Democrats, liked some of the things they heard during the State of the State speech Wednesday. But residents, including Republicans, wanted to hear more. ‘I kept waiting for specifics,’ said Annie Boensch, a mother of two from Saginaw.”

The intensely controversial Emergency Financial Manager (EFM) legislation recently passed by the Michigan legislature, would allow Michigan’s governor to remove locally elected officials in cities and school districts which Snyder’s administration determined were in dire financial straights. Snyder never mentioned his plans to push that legislation while running for the Governor’s office. Political commentator Rachel Maddow, described the EFM law, as well as Snyder’s proposed budget as classic Shock Doctrine politics whereby a crisis is used as an excuse to push through unpopular political reforms.

Watch Maddow’s video here where she says that Snyder doesn’t get much national media attention, but “boy howdy he ought to.”

In his speech, Snyder told the Republicans gathered that, “We’ve got a lot of work to do, and notwithstanding what anyone else says, I still perceive we’re in a crisis. We’ve been in a crisis so long we don’t act like it’s a crisis too often….I take it as a determination to do as much as possible as fast as possible.”

He also told those gathered that he hopes to have his budget passed by May 31, 2011. I asked Governor Snyder after the event whether he had the votes lined up to pass his budget, and he replied with a smile “we’ll have them.” When pressed about whether that meant he was still working to round up the necessary votes to pass his budget intact, he reiterated that he expects to have the votes.

Republican Mark Ouimet represents the 52nd Michigan House District. When asked whether he thought Snyder had the votes to get his budget through the Legislature, Ouimet said Snyder “was close.”

Snyder, whose speech lasted about 20 minutes, urged listeners to “teach” people who “don’t understand” about the proposed budget, as opposed to arguing with them. “This is about shared sacrifice,” he said. “Some people are going to have to take a step back so that we can all take a step forward.”

At the Ann Arbor rally against the Governor’s proposed budget earlier in the day, Brit Satchwell, president of the 1,200-member Ann Arbor Education Association, put it somewhat differently: “When Snyder talks about ‘shared sacrifice,’ he’s just blowing smoke. It’s not about public versus private. It’s not about union and nonunion. It’s about the middle class and democracy at this point.”

15 Comments
  1. […] that fundraiser, which A2Politico reported on here, Schostak told 15th District GOP heavy-hitters that one of the most important goals of the state […]

  2. Karyl Zahnke says

    Thanks for a marvelous posting! I genuinely enjoyed reading it.

  3. Malia says

    Are you for real? Hell yes you are! This should be required reading. Thanks.

  4. Joe Hood says

    @lighthouse: I’m not understanding this correctly, the “poor” are only those with public pensions? Private pensions are already taxed (since ’67). What’s strangest for me, who gets pensions? You mean not everyone is stuck with these 401Ks?

  5. lighthouse says

    What a terrifying speech! The most chilling line for me is when Gov. Snyder tells the audience that “Some people are going to have to take a step back so that we can all take a step forward.” we know who he means will have to take a step back (seniors, families and the poor) and who he means will get to take a step forward (the rich and business). Scary stuff, but so very important for all of us to know. I’m not sure Rob Steele could take on Senator Stabenow and win, but it’s clear that the Michigan GOP will cast around for a candidate willing to try to take the seat.

  6. ChuckL says

    A2P,

    30 years ago, Jello Biafra of the Dead Kennedy’s had a song called “Kill the Poor”; see below:

    “Kill The Poor”

    Efficiency and progress is ours once more
    Now that we have the Neutron bomb
    It’s nice and quick and clean and gets things done
    Away with excess enemy
    But no less value to property
    No sense in war but perfect sense at home:

    The sun beams down on a brand new day
    No more welfare tax to pay
    Unsightly slums gone up in flashing light
    Jobless millions whisked away
    At last we have more room to play
    All systems go to kill the poor tonight

    Gonna
    Kill kill kill kill Kill the poor:Tonight

    Behold the sparkle of champagne
    The crime rate’s gone
    Feel free again
    O’ life’s a dream with you, Miss Lily White
    Jane Fonda on the screen today
    Convinced the liberals it’s okay
    So let’s get dressed and dance away the night

    While they:
    Kill kill kill kill Kill the poor:Tonight

    30 years ago it was tongue and cheek humor parodying the Reagan Revolution; now it’s not funny because it’s becoming reality. I guess that our Superior Being rulers are hell bent on taking us back to the time of Dickens. If this is so, Karl Marx will be laughing from his grave!

    You got to love American politics; we get to choose between lame quiche eating liberals (Jenny-I’m-For-The-Good-People-And-Against-The-Bad-People Granholm) and crypto fascists (Rick-The-D*** Snyder). What was that about choosing to either freeze or burn to death (so it’s o.k. to kill you?)

  7. John Floyd says

    For starters, while I applaud the end of the Single Business Tax, I would not cut business tax rates/revenues as much as Mr. Snyder proposes. I would cut them by a lesser amount. I’m not sure I would eliminater taxes on small business. I would look for more things to automate to reduce headcount, like payment for license plates via credit card. For the moment, I would LOOK AT suspending incarceration for non-violent offenders. I would probably terminate MEGA. I would be more judicious in capital spending, and seek relief from “Prevailing wage” laws on state construction. I might consider a graduated income tax. Like The Gov, I might force the merger of some government units, whether school distructs, or cities (remind me again why Detroit, Hamtramk, and Highland Park are separate cities, with separate police & fire chiefs and park superentendants?). I would find ways to deliver healthcare outside of emergency rooms. I would consider giving high school academic credit for things learned/experienced ouside of highschool. My kid took a class in web design. If he could learn this stuff on his own, why wouldn’t we give credit for that and cut classroom costs? I would look for ways for EFFECTIVE use of distance learning in high schools (not every subject/student is suitable for this), and to use apprenticeships for business/ higher-tech vocational learning. Focused on Ann Arbor, I need to put more thought into the state budget.

  8. Joe Hood says

    @a2gop: You’ll not get an answer–it’s like my kids who want more than we can afford, they have no concept. All they ever hear dad say is “no.”

    I thought the EFM was mostly targeted at Detroit. The situation there is a court order is blocking the appointed manager from doing a complete job. The NY Times even did a story on the school district but neglected to mention the court order.

  9. money&buildings says

    Here’s something I read:

    Gov. Rick Snyder Sellout?
    Prefabricated Corporate Michigan (Government) Courtesy of Koch & ALEC Excl – by Hector Solon

    ..Governor Rick Snyder[is]on the march with prewritten policy and legislation from the American Legislative Exchange Council (ALEC) and other think-tanks..to suit their agenda and profits..
    Will CEO Rick Snyder just be another rubber stamp signature on scripted ALEC Laws?

    http://bloggingformichigan.com/showDiary.do;jsessionid=8B03178F619868450ACD06790324ECD5?diaryId=6343

  10. A2GOP says

    The EFM legislation that Snyder will no doubt sign is simply not in the best interests of the state’s cities or school districts. I have to imagine that before much longer it will be challenged in court and found to be much too far-reaching. As for the budget, I hope we can all agree that cuts have to be made. I know what I would like to cut, and these programs certainly do not include tax breaks for poor families. I wanted to pose the question to A2Politico and the other readers: What would you cut from the budget, if not tax credits? It’s easy to rail against the budget, but more difficult to actually make the choices, I think. Anyone? Mr. Floyd?

  11. money&buildings says

    Isn’t Gov. Snyder asking for something like a $1.6 billion tax break for Mich. corporations, and at the same time attempting to extract a similar amount from our public workers and seniors? Sounds like a plutocracy to me.

    Snyder: “Some people are going to have to take a step back so that we can all take a step forward.”
    When will people in power stop taking from “some” of the people? (“some” are almost always the middle class on down – history repeats and repeats and repeats)

  12. rose says

    Rick Snyder is a autocrat at heart. His way or the highway.
    The EFM is a very bad idea, that person is very vulnerable to corruption and bribery. I would expect that to be the rule, because absolute power corrupts absolutely, as the saying goes.
    That’s why we have democracy and they are slow and unwieldly and breed more stability than banana republic’s styles of governments, which is what that is.

  13. Mark Koroi says

    “Emergency Rule” is a form of law that allowed Hosni Mubarak to rule Egypt for almost 30 years. It was the same concept that Adolf Hitler used in 1933 to suspend the Bundestag )German parliament) and assume dictatorial powers.

    In 1986 GOP gubernatorial candidate William Lucas wanted to declare a state of emergency and impose a martial law form of government due to rampant crime in Detroit.

    Jennifer Granholm ignored calls by liberal activists for emergency powers being invoked to avert the foreclosure crisis.

    The sad state of affiars due to poor governance in some school districts and municipalites however warrants a “power play” to impose emergency financial managers on such governmental entities.

  14. John Floyd says

    I am uncomfortable with the idea of appointed officials removing elected officials, especially when there seem to be few objective criteria for what constitutes an “emergency”, and no apparent appeal process. I would be more comfortable with it had it been brought up during the campaign. Full and rigorous public debate about controversial change is often unpleasant, but buys a whole lot more legitimacy than springing stuff on people after an election – look at Ann Arbor if you doubt that.

    On the radio this morning, Gov. Snyder was quoted saying that he was open to compromise on the details of his plans. The devil being in the details, this seems to create an opportunity to round off some of the sharper corners of his plans.

    The larger, apparently implicit, point of his plans-to-date, that wage and real estate deflation are here to stay and likely have not finished playing out, looks to me to be unfortunately on the mark. From that perspective, much (not all) of what his budget proposal looks unavoidable, regardless of who is in office. Again, it doesn’t matter who is in office: the economics of our state dictate that some approximation, some variant, of Snyder’s proposals would have to be enacted, anyway.

    Public employees – teachers, police and fire, highway engineers, wildlife managers, foster child case workers, trash collectors, the water & sewer gang – perform invaluable services. What’s a good teacher worth, after all? That’s not the issue. The issue is that the government fiscal structure (tax structure, tax rates, spending priorities) that made sense when three of the five largest corporations on earth, including the most profitable corporation in the history of the planet (GM, for you gen-Xers), were located in and were more-or-less captive to, the state of Michigan, no longer make sense. GM went from its position as the largest and most profitable company in the world, employing oodles of Michiganders, to defaulting on its bonds in bankruptcy. Sooner or later, that reality has to be reflected in our tax structure, in the services the state provides, and in public employee compensation.

    Reasonable arguments can be made about the size of the corporate tax reductions, the end of the earned income credit, pension taxation, and the spending priorities in Snyder’s budget. It is unreasonable to suggest our tax structure can be permanently out of line with the surrounding states, and that we can spend like GM remains what it was in 1963. As uncomfortable as I am with appointees removing elected officials, unilaterally terminating contracts, and revoking city charters, as uncomfortable as I am with ending the earned income tax credit, and other specifics, at the “10,000 foot level”, Gov. Snyder’s main crime seems to be that he is calling a spade a spade.

    Historically, Michigan’s economy has been boom & bust: agriculture, commercial fishing, mining, lumbering, shipping, furniture design, high-value manufacturing all reflect that. Right today, we are in a bust. Eventually, we will return to boom. In the mean time, we have to deal with the fact that we are in a structural bust, not an economic-cycle bust.

  15. Mark Koroi says

    Ron Weiser took over the GOP in 2009 on the heels of landslide defeats statewide and now has four of his close allies taken over very powerful roles in Michigan government. These would be Rick Snyder, Mark Ouimet, Ron Schostak and Eileen Weiser. His value to the GOP has been as a fundraiser and he has done it without pandering to the Tea Party. Ron Schostak on the other hand has listened to Tea Party leaders and created assurances so as to avert the rift like the one seen at the August of 2010 state GOP convention in East Lansing.

    Expect the Michigan GOP to recruit a big name to run against Stabenow in 2012 ad provide massive support. Possible candidates could be Pete Hoekstra or some sitting U.S Congressman.

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