New MSU Land Policy Institute Report Suggests Prosperity for Michigan Hinges, In Part, On Attracting Key Populations:

Michigan’s metropolitan areas must do a better job of attracting and keeping young workers, retirees and well-educated immigrants in order for its job market to improve, according to a national study to be released by the Land Policy Institute at Michigan State University (MSU).

Michigan lags far behind most other states in attracting and retaining residents in all three of those categories, which MSU researchers say is critical to restoring Michigan’s prosperity in the new knowledge-based economy.

“In the Old Economy, people moved somewhere new or lived somewhere for 30 years because that was where their jobs were,” said Dr. Soji Adelaja, the report’s lead author, John A. Hannah Distinguished Professor in Land Policy and Director of the Institute. “Not anymore. People who create the most jobs directly and indirectly are also those people moving to those places in the country that have the best amenities and quality of life. They are seeking places first, not jobs first.”

Policy makers should consider a new model for economic development that is less focused on tax incentives and more focused on increasing Michigan’s population of “knowledge workers” who “look for interesting places to live, move there and enable economic activity to follow them, including job creation for themselves,” Dr. Adelaja said. . . .

According to Dr. Adelaja, the winners will be those regions that build strategies and bolster vibrant urban cores, green recreation opportunities and diverse, entrepreneurial populations, among other assets. . . .

The Land Policy Institute’s Executive Summary was formally presented today, Wednesday, February 25, 2009, to the State House Committee on “New Economy and Quality of Life.”

The final report will be available in early March at www.landpolicy.msu.edu.

Regional Transit in West Michigan?

A study about the feasibility of new regional transit service in West Michigan is underway.  Planners are examining the demand for new commuter and intercity bus services connecting communities in Ottawa, Kent and Muskegon Counties.  The study will help determine whether new services are feasible, and if so, how they should be developed.

As part of this study, a survey has been created to understand where people travel in West Michigan and to gather public opinion about possible regional bus routes.  Because this is an important effort, please take 5-7 minutes to complete the survey on-line at www.westmichigantransitsurvey.info.  As an incentive, individuals who complete the survey will be entered in a drawing to receive one of several $25 gift cards.

This week I attended the first of several meetings that the Senate Transportation Appropriations that mark the FY 2010 budget process.  As is tradition, the Michigan Department of Transportation (since they’re the department that is responsible for this particular budget) got to testify first.  Leon Hank, MDOT’s Chief Administrative Officer, gave the presentation.  He spoke both about the proposed budget and the Federal stimulus program.  Highlights of he presentation include:

Transportation FY 2010 Budget:

• The budget is based on the assumption that overall transportation revenues will be down $156 million (4.6% from the previous year).  The gas tax is projected to be down 4.3%, diesel tax is project to be down 8.3% and vehicle registration fees are projected to be down 1.5.%
• State federal aid road and bridge program will be decreased 23.84% (or $356.3 million overall).  Local federal aid road and bridge program will be decreased 19.65% or $61 million. MTF distribution to counties, cities, and villages will be decrease4.88% or$45.4 million.

American Recovery and Reinvestment Act of 2009 (Federal Stimulus):

• Stimulus funds under will be under a very agressive timetable.
• Stimulus funds do not have any matching requires (100% grants)
• Michigan will receive $857 in highways funds.
• Transit systems will receive $135 million
  • This represents 1.95% of the total.
  • $102 million will be given to urban transit agencies
  • $22 million will be given to rural transit
  • $10 million will be award from the “density growth formula”

Requirements:

• Projects must be federal aid eligible
• 50% of these funds must be “obligated” within 120 days of MDOT receiving official word of Michigan’s allocation (sometime in the first week of March).
• The remaining 50% must be used with 1 year.
• Funds not obligated will be swept back into a discretionary grant program.

It’s good to see that transit is receiving something and these funds can be used to upgrade our current systems and perhaps lay the groundwork for commuter and high speed rail

Are you interested to see where the final version of the American Recovery and Prosperity Act (aka the Obama Stimulus plan) ended up at the end of the day in Congress.  Check out this post from “The Transport Politic” to see how rail got a big boost while transit as a whole is still getting the short end of the stick for operations.

http://thetransportpolitic.wordpress.com/2009/02/12/final-stimulus-bill-rewards-hsr-massively-falls-somewhere-between-house-and-senate-on-transit/

I suppose something is better than nothing, right?

The past few weeks, Arnold Weinfeld and I have been working together on the federal stimulus package.  As of 2:29PM, I believe there have been 18 different versions of the bill that has been distributed, seen, reviewed, amended, or talked about.  The troubling thing is that in all of those versions, transit hasn’t been made a bigger priority.

What I like about my role at the League is that I get to deal with transit and can make the case that transit can be whatever the community that wants it.  In the Detroit Metropolitian area - it can be light rail and full bus service.  In Grand Rapids - it can be rapid bus transit.  In Lansing - it can be a combination of on-demand service and bus service.

But wherever it is, it won’t work if we don’t make it a priority.  Today’s editorial in the Free Press reminds us of how many opportunities that we’ve lost and how we have an opportunity right now to make a statement about what we want transit to be.

http://www.freep.com/article/20090206/OPINION01/902060302

Is this the future of Michigan's Transportation System?

In my role at the Michigan Municipal League, I receive a copy of the “Michigan Transportation Fund and Local Road Program Statement of Comparative Receipts and Distributions”.

I know what you’re thinking. “Very exciting stuff, Dave. Really it is!”

But I wanted to share some information with you, so that you’ll keep it in mind as you dodge the multiple potholes that are out there.

Total Motor Fuel Taxes collected for the period 1/1/08 - 12/31/08 was $948.1 million. This is down 4.8% from the previous year.

• Total amount of Michigan Transportation Funds (MTF) distributed to the 533 Michigan cities and villages in 2008 was $332.2 million. This is down 3.6% from the previous year
• Total amount of MTF distributed to the 83 Michigan counties in 2008 was $581.1 million. This is down 3.6% from the previous year.
• Total amount of money made available for the Comprehensive Transportation Fund (CTF) - which supports all public transit operations in the state (73 agencies) for 2007 was $165.7 million.  This is down 3.4% from the previous year.

Keep in mind that the amount given to cities and counties is the entire amount provided to take care of potholes, to resurface roads, to build new roads, to plow the roads, to salt the roads, to take care of stop lights, street signs, patching, repairing, etc.

Also keep in mind that it costs about $3,000/road mile to plow the snow during an average Michigan winter (per MDOT). It also can cost anywhere from $300,000 to $1 million to build a road (depending on how wide it is and the terrain it’s on).

Like I said to one of friends earlier this year, as this winter continues, our roads are only going to get worse (very very worse) before they get better.