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Volume #49, Report #52--Thursday, March 18, 2010

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RASCO FIASCO: SCOPE OF TAX BREAK SCAM GROWS

When Richard Short applied for a tax break to convince Michigan officials to give him an incentive to locate Renewable and Sustainable Companies LLC, his new company that promised to build technology in Flint that would integrate communication with essential utilities in the developing world, he gave state officials reason to hustle.

LEGISLATURE LAUNCHES INVESTIGATION, BILLS IN RASCO SCANDAL

Both houses of the Legislature began mobilizing Thursday for a major investigation and possible legislative action in the wake of one more the more serious scandals to hit state government in some time - the awarding of a $9.1 million tax incentive to an ex-convict with a history of fraud crimes.

REVENUE SHARING SPARED AS HOUSE PANEL APPROVES 4 BUDGETS

A plan to cut revenue sharing was thwarted Thursday and communities across the state would actually see a 1 percent increase in payments if the Legislature signs off on closing some tax loopholes under one of four budgets the House Appropriations Committee approved.

LOAN FOR 'PURE MICHIGAN' OK'D BY HOUSE

The state would continue the "Pure Michigan" campaign with a $20 million infusion of loaned funds under a bill package that passed the House on Thursday.

COX SLAMS HOEKSTRA OVER MISSING PROCEDURAL VOTE

Attorney General Mike Cox's gubernatorial campaign attacked U.S. Rep. Peter Hoekstra for being in the state campaigning for governor instead of in Washington, D.C., to cast a vote on the federal health care bill.

HOUSE PANEL EXPLORES SCHOOL FUND BALANCE CAPS

School districts could only keep 15 percent of their general revenues in the bank under legislation being considered by the House Education Committee, but the panel was urged to bring that number even lower in initial testimony Thursday.

TRANSPARENCY HURT D.H.S., HOUSE PANEL TOLD

The effort by Department of Human Services officials to be truthful about data regarding the foster care system, even if that meant revising figures, may have hurt the state's image with court monitors that just released a review of Michigan's progress, lawmakers were told Thursday.

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Plan for 765 jobs up in smoke for now; State says RASCO won't get $9M tax credit while Richard A. Short is CEO
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$20 million for Pure Michigan tourism ads OK'd by House
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Katie's nursing dream is now a law
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Rep. Mark Schauer says he plans to vote yes on health-care bill; vote expected to take place Sunday
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House OKs Pure Michigan money, but hurdles remain
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Area's jobless rate is steady
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