The Detroit Lions ended their 2023-24 season just 30 minutes away from the franchise’s first Super Bowl appearance before succumbing to the San Francisco 49ers in the NFC Championship game.
The Detroit Red Wings spent much of the latter part of the NHL season battling for what would have been, based on preseason expectations, a surprise appearance in the playoffs.
And the Detroit Tigers opened the 2024 season with aspirations, based largely on a talented young pitching staff and a few key young hitters, of winning a division title.
It’s the same kind of optimism, coming off what she believes was a successful year, that Michigan Gov. Gretchen Whitmer brought into 2024. She was brimming with optimism when she made her annual State of the State address earlier this year.
“We put together a heck of a record in 2023 and we are starting 2024 ready to rock,” Whitmer said. “This year let’s keep our foot on the accelerator by continuing to focus on the issues that make a real difference in people’s lives. Let’s build more housing to expand supply and lower costs and save family caregivers thousands on their taxes. To improve education, let’s deliver a budget that expands free pre-K for all and makes community college tuition-free for every high school graduate.
“Finally, let’s keep bringing supply chains and jobs back home to Michigan by shoring up our economic development toolkit so anyone can ‘make it’ in Michigan,” she added. “Together, we can build a bright future and help every Michigander have a classic Michigan story.”
But before she could talk about the future Whitmer, of course, wanted to talk about the past. She likened what her administration and the state Legislature got accomplished last year, giving credit to legislators of both parties in the process.
Whitmer – a self-professed “product of the 80s” and a lover of classic rock music – likened it to what she said good bands do when they’re putting together great albums: Include chart-topping hits, deep cuts and “a few experimental tracks.”
“At our best, that’s what we aspire to do, too—get things done that outlast us, make policy for future generations,” Whitmer said. “Over the past year, our record … had something in it for everyone (with) policies bound by a common theme: making a real difference in people’s lives.”
Before talking about the future, Whitmer wanted to dwell on the (recent) past. Among what she called the “set list” were:
• Rolled back the retirement tax on seniors, saving, she said half a million senior households an average of $1,000 a year.
• Quintupled the Working Families Tax Credit so people working 9-to-5 or second or third shift get hundreds more dollars back.
• Since taking office, Whitmer said, the state has paid down $18 billion of debt, brought the rainy-day fund to nearly $2 billion, and created a new rainy fund for schools and put nearly $500 million in it.
• Passed Prop 3 to protect abortion rights and repealed the “extreme” 1931 abortion ban.
• Made school breakfast and lunch free for 1.4 million public school students.
• Enacted a clean energy package that will, among other things, reach 100% clean energy by 2040, lower the cost of household utilities by an average of $145 a year and create thousands of good-paying jobs.
After what she believes was a very successful 2023, Whitmer is naturally upbeat about the state’s prospects for 2024. She laid out the reasons why in her State of the State address. Among her proposals:
Housing
The State of Michigan will make the largest investment to build housing in Michigan history, nearly $1.4 billion to build or rehabilitate nearly 10,000 homes. That is 10 times what the state invested to build housing 10 years ago.
“Building more of every kind of housing—single family homes, apartments, and mixed-use buildings—will expand supply and lower costs,” she said. “Getting this done will also support thousands of good-paying jobs in the skilled trades—from pipefitters and carpenters to bricklayers and roofers.”
Caregiver Tax Credit
Michiganders with caregiving responsibilities juggle their own lives and careers while spending thousands of dollars out-of-pocket on related expenses. Whitmer proposed the new Caring for MI Family Tax Credit to save thousands of Michigan families up to $5,000 off their taxes. The proposal covers caregiving expenses including counseling, transportation, and nursing or respite services.
Pre-K for All
The governor wants to provide access to free pre-K for every single 4-year-old Michigander in the next budget. Free pre-K saves families an average of $10,000 a year and helps students build a solid academic foundation for long-term success, improving literacy rates and closing achievement gaps.
“Data shows that children who attend pre-K have better academic outcomes, higher graduation rates, and go on to earn more money when they start working,” she said. “Investments in pre-K will also attract employers seeking to expand or relocate to Michigan by giving parents more safe, affordable options for their kids when they go to work.
Community College for All
The governor proposed making the first two years of community college tuition-free for every high school graduate. This, Whitmer said, will save students an average of $4,000 as they earn an associate’s degree or skills certificate at a community college, helping them land a better-paying, high-skill job in a career field they love.
Getting it done, she said, will also help Michigan achieve its ‘Sixty by 30 goal’ to have 60% of working-age adults earn a postsecondary education by 2030.
“Michigan’s growing economy must be driven by a growing base of skilled talent,” Whitmer said. “As more supply chains come home and advanced manufacturing businesses expand in Michigan, they will need qualified talent to meet their needs. Every student deserves a chance to pursue their passion so they can build a good life in Michigan.”
Rebuilding Michigan
Calling infrastructure “critical to growing Michigan’s population and economy,” Whitmer called on the Michigan Department of Transportation to authorize the final $700 million of the Rebuilding Michigan Plan. The five-year, $3.5 billion plan has focused on fixing Michigan’s most economically critical roads while supporting over 45,000 jobs without raising taxes by a dime,” she said. The final round of bonding projects includes I-94 along Detroit Metro Airport, I-696 from Southfield through Warren, and a bridge in Erie Township.
Make it in Michigan
Whitmer called for Michigan to upgrade its “bipartisan economic development toolkit,” including:
• R&D Tax Credit: unleash innovation while lowering costs for businesses.
• HIRE Michigan: lower overall payroll taxes for these firms. “The value behind it is simple: the more you hire in Michigan, the more you should save in Michigan,” she said.
• Renaissance Zones, which she said spur investment in areas of the state that are “too often left out or left behind” by lowering the cost of doing business in them.
• Innovation Fund to invest in early-stage start-ups, help launch hundreds of new Michigan-based companies, creating thousands of jobs.
“Companies are bringing supply chains back home to America—and to Michigan—in a big way,” she said. “Michigan is showing the world that we make a lot more than just cars. In the decades ahead, we will dominate batteries, chips, and clean energy.”
Getting help from the Feds
In addition to being happy with what the state is accomplishing locally, Whitmer is also pleased with how Michigan has benefitted—and is still benefitting—from federal programs such as President Joe Biden’s infrastructure bill and other legislation.
When U.S. Treasury Secretary Janet Yellen was in Detroit earlier this year—she spoke to the audience at the Feb. 14 Detroit Economic Club meeting—she extolled the virtues of that legislation that she believed “positioned Michigan” to benefit.
Yellen cited the CHIPS Act, the Inflation Reduction Act and American Rescue Plan—which allotted $6.5 billion to Michigan—as key factors in “lowering health care costs for American families, supporting small businesses, and creating economic opportunity across the country.”
“I see Michigan as a state positioned to benefit from that legislation,” Yellen told the audience.
Whitmer, who made a joint appearance with Yellen, pointed out that Michigan did, in fact, benefit from the federal assistance contained in that legislation, pointing to:
• Investment in high-speed internet, where Whitmer said her state is fourth in the nation in investment in high-speed internet.
“We saw during the pandemic how crucial that was,” she said.
• Approvals of “big battery projects” for electric vehicles she said are “so important to the Michigan economy” amid a shifting landscape of automobile production.
“We’re so grateful for the incredible investment from the federal level,” Whitmer told Yellen. “Implementation is the name of the game; we’re making sure we are moving swiftly. We’ve been able to secure incredible resources (and) we’re already seeing these resources coming in.”
Whitmer also touted Michigan’s manufacturing economy, including a plan – unveiled in the $80 billion budget she revealed earlier this year – to incentivize Michigan employers to “invest in their workers.”
The budget includes spending some $60 million for the Michigan Innovation Fund, the state’s startup investment program, to boost economic growth.
“These are all strategic ways I think that we can ensure that manufacturing is really growing and continues to do so,” she said.
While she’s confident in her state’s ability to continue to grow its business community, Whitmer also took her show on the international road, taking part in a trade mission to East Asia to meet with public and private sector leaders in South Korea.
During the trip, the governor focused on building relationships in key industries to bring jobs and critical supply chains back home to Michigan.
The governor opened Michigan’s first-ever Taiwan office focused on securing investments in key industries like automotive, semiconductors, renewable energy, and advanced manufacturing to create good-paying jobs.
The governor also announced four new economic development projects coming to Michigan, including LT Precision Michigan, LLC, which is establishing its North American headquarters in Holland, creating 70 new jobs and investing $43.2 million in the local economy.
“Michigan is a leader on the global stage, and it was an honor to share the story of our state with the help of our partners from South Korea and Taiwan,” Whitmer said. “With this investment mission and every future opportunity, my top priority is to bring more jobs, investment, and economic prosperity back home to Michigan.
“Whether forging connections with companies, meeting with dignitaries, or connecting with alumni from our great state universities, I have been proud to share what Michigan has to offer,” she added.
While she was in South Korea, Whitmer attended the InterBattery Show in Seoul, spending time at the Michigan booth and visiting leading battery manufacturing companies Samsung SDI and LG Energy Solution (LGES).
Both companies have a strong presence in Michigan: Samsung SDI America Inc.’s North American headquarters are in the city of Auburn Hills, and in September 2023, the manufacturer of lithium-ion batteries for the auto industry announced a $41 million investment to double its manufacturing capacity in Auburn Hills to meet customer needs in the automotive sector, creating 368 new jobs.
Meanwhile, LGES announced a $1.7 billion investment in March 2022 to expand operations in Holland – the battery maker’s first major expansion in Michigan since 2010. LGES’ expansion will quintuple the plant’s capacity to help produce battery components as Michigan’s electric vehicle industry grows.
One-third of U.S. battery production and development takes place in Michigan.
The governor also met with companies including SK Siltron and Hyundai Mobis, which both have a presence in Michigan, to discuss the state’s leadership within the semiconductor and automotive manufacturing industries. In August 2021, SK Siltron CSS announced plans to expand production of silicon carbide wafers. In September 2022, the semiconductor wafer manufacturer celebrated the ribbon cutting at its new manufacturing facility in Bay City. SK Siltron’s $300 million investment strengthened its commitment to Michigan and further boosted the state’s leadership in the national semiconductor supply chain.
The governor also met with South Korean President Yoon to further build connections between Michigan and South Korea and attended a dinner with the Gyeonggi Provincial Government.
Not everyone agrees it’s all moonlight, roses and classic rock in Michigan. When State Sen. Aric Nesbitt, the Senate Republican Leader from Porter Township, delivered the Republican response following Whitmer’s State of the State speech, he accused her of being out of touch.
“(Whitmer) painted a picture of the state that … was at odds with the reality most Michigan families are facing,” Nesbitt said. “She took a victory lap … while many of our family members, friends and neighbors continue to struggle. This was a speech from someone who has spent way too much time in the Lansing bubble.”
Whitmer shrugs off such criticism and continues putting her optimistic attitude out there.
“We got into the groove last year, but great bands do not rest on their laurels — they make the next record better than the last one,” she said. “There’s more to do, and nothing is going to stop us now. We have a heck of a record, and we are starting 2024 fired up … our state is ready to rock.”
