Pocketbook plans drive Whitmer's State of the State speech

LANSING — Gov. Gretchen Whitmer laid out her road map to lower costs for Michiganders and convince others to make the state their home in her State of the State speech Wednesday, outlining policy priorities from supporting family caregivers to free community college as the 2024 legislative session begins.

Delivering her speech from the rostrum in the Michigan House of Representatives, Whitmer looked out on a sea of lawmakers and their guests that glittered with hints of Honolulu Blue as the Lions gear up for their championship game Sunday. One lawmaker entered the chamber wearing a Lions baseball cap, and another waved his to the crowd in the gallery. State Rep. Mike Mueller, R-Linden, sported a vintage jersey. Whitmer herself wore a Lions pin on the right lapel of her blue blazer and said the team's spirit embodies the state.

"Heck, just look at our Lions," she said, prompting the loudest applause of the night. "Once a punchline, (they) are now a powerhouse. They've dominated by centering the grit that defines every Michigander. On the way up, they turned naysayers and cynics into dreamers."

The governor used the annual policy address to detail new plans to achieve goals she previously set such as building new housing across the state and providing free preschool to all Michigan 4-year-olds. She also unveiled new proposals such as a tax credit for uncompensated family caregivers and new economic development policies she hopes lawmakers send her way.

Whitmer did not specify the price tags for many of the new or expanded programs she announced. But none of the proposals will require raising any taxes, according to her office. In the coming weeks, Whitmer will address lawmakers again to outline her funding priorities in a budget presentation Feb. 7.

Housing and education among Whitmer's 2024 priorities

The speech marked Whitmer's sixth State of the State address as governor. She has gained a national profile since she first took office, especially on abortion rights, and is expected to have a significant role in President Joe Biden's reelection campaign as she tries to keep Michigan in the Democratic column after former President Donald Trump narrowly won the state in 2016 and Biden won it in 2020.

This year, Whitmer focused her speech on the ways she wants to save residents money. She called on lawmakers to create a tax credit for family caregivers, providing up to $5,000 to cover expenses such as nursing services and counseling. She also re-upped her call to create a vehicle rebate program to save residents money on new cars.

To make housing more affordable, Whitmer said she plans to use $1.4 billion previously approved to add nearly 10,000 new units to Michigan's housing stock through construction or rehabilitation. In 2022, Whitmer set a goal of building or rehabilitating 75,000 housing units across the state within five years.

In her first State of the State address, Whitmer outlined her vision to increase the share of Michigan adults with a postsecondary credential to 60% by 2030 and announced the creation of Michigan Reconnect to provide a tuition-free path to obtaining an associate's degree or skill certificate. Last year, lawmakers approved federal COVID-19 relief dollars to temporarily lower the age for the Michigan Reconnect program from 25 to 21. Now, Whitmer wants state lawmakers to remove the minimum age requirement and make community college free to all high school graduates.

For Michigan's youngest learners, Whitmer said she wants to accelerate her "pre-K for all" plan. Last year, she told lawmakers she wanted to provide free pre-K for every single 4-year-old by the end of her second term. Now, she wants universal pre-K included in the next budget.

"So let this be a message to parents in other states — come to Michigan. We got your back every step of the way, and we'll save you ten grand on your children's education," Whitmer said.

As lawmakers eye changes to the way the state awards large subsidies to companies that promise to create jobs in the state, Whitmer called on them to "upgrade" the state's economic development policies. She outlined proposals for a research and development tax credit and creating an "innovation fund" to invest in promising startups.

GOP lawmakers blame Whitmer's policies for stunting Michigan's growth

Republicans were highly critical of the speech.

Both House Minority Leader Matt Hall, R-Richland Township, and Senate Minority Leader Aric Nesbitt, R-Porter Township, accused Whitmer of trying to raise her national profile by announcing programs such as free school meals and caregiver tax credits that are only funded on a short-term basis. "She seems to be loading up on these promises and then leaving the bill to the next governor or the next Legislature," Nesbitt said. "It's all about public relations to her." Hall complained: "She talked more about the Detroit Lions than she did about a real plan to fix roads, or a plan to solve education."

State Sen. Ruth Johnson, R-Groveland Township, said Whitmer has wasted billions of dollars, mostly on corporate welfare, without making a positive dent in the woefully low performance of Michigan K-12 students in reading and other standardized tests.

GOP legislative leaders criticized Whitmer’s economic development strategy ahead of the speech.

They pointed to a report from the governor's population growth council as an indictment of Whitmer's approach even though the council showed the state's growth and median household income has lagged the nation under both GOP and Democratic control.

For her part, Whitmer touted what she called a "manufacturing renaissance" in Michigan that goes beyond the auto industry.

Whitmer confronts changed political reality in Lansing

While Democrats still control the Michigan House of Representatives, they don't have a majority in the chamber after two members won mayoral elections last fall. For now, that leaves Democrats without the votes they need to pass Whitmer's proposals in the face of any united GOP opposition.

Last year Michigan Democrats, in full control of the legislative process for the first time in decades, moved swiftly to pass policies that had stalled under GOP control. Whitmer signed a major tax overhaul into law that provides relief for retirees and low-income workers. She also signed legislation creating new gun safety measures and guaranteeing abortion and LGBTQ rights. When Whitmer mentioned the long-sought protections from discrimination based on sexual orientation and gender identity she signed into law last year, some lawmakers in the state House chamber waved small pride flags.

Democrats wielded their legislative majorities last year to reverse many policies from Whitmer's Republican predecessor Gov. Rick Snyder, but Whitmer said she wants lawmakers to revive one program from the Snyder era that would reduce payroll taxes for companies that create jobs in the state.

As Whitmer took a victory lap in her speech Wednesday to celebrate Democrats' policy wins last year, some items on Whitmer's to-do list remain such as paid family and medical leave and prescription drug affordability policies she outlined in a speech last summer.

Editor's note: This story has been corrected to reflect that a proposed tax rebate from Whitmer would apply to new car purchases.

Contact Clara Hendrickson:chendrickson@freepress.com or 313-296-5743. Follow her on X, previously called Twitter,@clarajanehen.

Contact Paul Egan: 517-372-8660 or pegan@freepress.com. Follow him on X, @paulegan4.