Late June, 2021 Newsletter

 



AG, McBroom Have Spoken On Election Report; Probe Review UnderwayAn investigation into individuals who knowingly spread and profited off misinformation surrounding claims of fraud in the 2020 election could be coming soon, Attorney General Dana Nessel said Friday in referencing conversations had with the Senate Oversight Committee Track chair this week following the release of a report on the general election.

The committee, helmed by Sen. Ed McBroom (R-Vulcan), released a report earlier this week which not only concluded that no fraud occurred in the November 2020 general election but that individuals continuing to perpetuate claims of misinformation and profit over such allegations should be investigated.

At a press conference Friday, Ms. Nessel said that Mr. McBroom has since approached her regarding the report, and that the two have had: “discussions about specific things in the report that he found to be especially troubling and areas of concern he had.”

Declining to go into details of the conversations, Ms. Nessel said Mr. McBroom did alert her department to “things that were concerning to him” and he pledged full cooperation with the Department of Attorney General should an investigation commence.

“I believe we are in the process right now of ensuring that all the materials that were given to the Senate Oversight Committee Track, and that they reviewed as part of their report, will be turned over to us so that we can analyze those materials. … I will tell you that we have made a decision within our department to at least analyze and evaluate and review all of those materials,” Ms. Nessel said. “I think it’s safe to say that we have begun an investigation to that extent. We’re going to be reviewing all of that and taking a look and seeing what things are that troubled Sen. McBroom so much, as well as the other members of the Oversight Committee.”

While she declined to name names, the report itself highlights two individuals who could become the focus of an investigation: Former Republican Sen. Patrick Colbeck and attorney Matthew DePerno.

Both individuals have become known for their involvement in continuing to push election fraud claims long into 2021. Mr. Colbeck has continued to erroneously claim that modem chips were embedded in the motherboards of voting systems used on Dominion machines, which could be hacked and see voting data manipulated.

Mr. DePerno has also continued to push claims of fraud after first becoming involved on the subject after filing a demonstrably false lawsuit over the combination of human and software error in Antrim County, claiming that it was proof the election was tampered with.

On Thursday, Mr. DePerno issued a lengthy statement on Twitter continuing to push his election fraud narrative, which concluded with saying that “the issue of election fraud will not disappear while (lawmakers) attend summer barbeques; nor do we think their constituents will be happy with their unconstitutional attempts to suppress the truth. More reports on election fraud to follow.”

Mr. Colbeck, similarly, has posted several tweets on Senate report which lambasted its integrity.

“MI Senate report is disgraceful in so many ways, but I ask you to reflect upon its most shameful element,” he wrote. “It deliberately pushes for infringement of our constitutional rights to free speech, free press and the redress of our grievances. Direct violations of their oaths of office.”

In a statement posted Wednesday, Mr. Colbeck continued to call for an audit similar to what is transpiring in Arizona and erroneously claimed that in failing to do so legislators are violating their oaths of office.

Dems Stop Effort to End Federal $300 Unemployment Top-Off Early

The Republican-led Legislature sent to the Governor today legislation that ends early the federal government’s $300-per-week top-off of workers’ unemployment benefits, but the bill is functionally dead on arrival.
Gov. Gretchen Whitmer isn’t likely to sign HB 4434. Still, Senate Democrats held off enough votes to deny the bill immediate effect. It means the Rep. Jeff Yaroch (R-Richmond) bill that ends a federal bonus that’s supposed to go away Sept. 6 wouldn’t go into effect until late March 2022 if signed.

Michigan Restaurant and Lodging Association CEO Justin Winslow implored the Governor to support ending the benefit so the unemployed would have an incentive to go back to work. The supplemental benefit was needed during the height of the COVID-19 emergency, he said, but no longer.

“We now live in a restriction-free Michigan with an abundance of safe and effective vaccines, yet restauranteurs and hoteliers are unable to fill innumerable openings at wages rising at twice the rate of any other industry,” Winslow said.

HB 4434 passed the House on Jun. 17, with Rep. Pauline Wendzel (R-Watervliet) having targeted the boost on grounds that the enhanced federal benefits “disincentivize reentering the workforce.”

Sens. Jeremy Moss (D-Southfield) and Paul Wojno (D-Warren) each offered amendments to secure aid that were shot down by Republicans on the floor.

Wojno’s alteration aimed to unfasten the legislation, keeping families equipped with federal assistance until the September deadline. However, Moss’s amendment would have expanded the Work Share program, where employers can bring back workers with decreased hours and employees are given unemployment benefits to make up for a fragment of lost wages.

Whitmer wrapped this concept into her Back to Work incentive, adding at her Monday press conference “we need the Legislature to help us on that.”

“This is about making sure that Michigan comes out of this pandemic in the strongest possible shape,” she said. “To wage this kind of class warfare that some want to win and penalize people who are on the fringes, struggling to get by, I think it’s the wrong thing and it hurts too many people, and that’s why we want to use these resources as incentives to bolster a paycheck.”

The bill passed the Senate on a party-line 19-16 vote. The House concurred in the Senate changes and sent it to the Governor, 59-49, with Rep. Karen Whitsett (D-Detroit) and Rep. Sara Cambensy (D-Marquette) joining Republicans in voting yes.

Later this afternoon, the Michigan AFL-CIO issued a press release condemning Republican lawmakers for their actions against the Back to Work incentive, describing it as “yet another political stunt” to strip away $300 of weekly assistance instead of “passing much-needed COVID relief aid dollars and finishing the state budget by their own self-imposed July 1 deadline.”

“Republicans should stop trying to take money out of the pockets of folks who are unemployed through no fault of their own,” said President Ron Bieber of the Michigan AFL-CIO. “The Legislature should be working to make sure every Michigander share in the gains from that recovery, not launching attacks on people who were hit hardest by last year’s economic collapse and trying to ship unemployment aid funds back to Washington, D.C.”

On Wednesday, the Small Business Association of Michigan (SBAM) reported 47% of small businesses described finding and keeping employees as the biggest problem facing their operations, while more than half increased employee wages since the start of the COVID-19 pandemic.

According to SBAM’s survey, conducted from Jun. 8-18 with 600 responses, 50% of Michigan’s small businesses are expecting to increase the size of their workforce over the approaching six months.

In the Detroit Regional Chamber’s massive polling data released on Jun. 7, individuals who were employed before the COVID-19 pandemic and were back on the job hunt described their biggest barriers toward finding access into the work sector as:

– 22.9% said they did not feel safe or cited virus safety
– 14.3% said it was a lack of good pay or benefits
– 11.4 expressed it being due to their age or health
– 8.6% described a need for childcare

“The data demonstrates multiple factors are preventing employees from returning to work. While 14.3% of respondents indicated ‘lack of good pay,’ which likely encompasses the impact of the federal $300 weekly supplemental unemployment benefits, other factors are likely the primary reasons for workers not returning to the workplace,” the Chamber provided as its insight on “The Labor Shortage in Michigan.”

Delta-8 THC Bills Head To Governor’s Desk

An intoxicating derivative of hemp that is currently allowed to be sold outside of the regulated marijuana system would fall under the Marijuana Regulatory Agency’s purview under a package of bills heading to Governor Gretchen Whitmer.

HB 4517 would define the Delta 8 derivative while also ensuring hemp products continue to be regulated under the Department of Agriculture and Rural Development with the Marijuana Regulatory Agency continuing its work to regulate cannabis in the state.

HB 4740, HB 4741, HB 4742, HB 4743, HB 4744, HB 4745 and HB 4746 are companion bills in the package.

Industry stakeholders and the MRA are supportive of the legislation.

Products made with Delta 8 imitate the intoxicating effect of traditional cannabis, but can be sold at regular retailers, like gas stations, instead of being regulated and limited to dispensaries.

HB 4516, which would create a cause of action against a marijuana licensee if it sold marijuana to a minor or visibly intoxicated person, causing damages, was also sent to the governor.

All of the bills were passed in the Senate and concurred on in the House before being enrolled. The Senate change dealt with the effective date of the bills, making it 90 days after being enacted.

Michigan Cannabis Manufacturers Association Executive Director Stephen Linder praised the bills’ final passage.

“We applaud the Legislature for taking this critical step toward requiring all products that mimic a cannabis high to be regulated by the MRA, which will help promote the health and safety of all Michiganders for decades to come,” Mr. Linder said in a statement. “Any product that mimics a cannabis high that is either inhaled or ingested should follow the same strict high testing, health and safety guidelines enforced by the Marijuana Regulatory Agency and adhered to by licensed growers and processors. We greatly appreciate the Legislature’s leadership on this critical issue, which will go a long way toward promoting the health and safety of Michigan consumers.”


ARTICLES OF POLITICAL INTEREST:
Teachers Who Are Paid $97K Annually Say Low Pay Is A Problem

‘As Long as the Party Embraces Trump, It’s Going to Have Trouble’

Crews making progress on Metro Detroit flooding, but more rain could hinder efforts

Michigan’s COVID-19 restrictions have ended, but the virus is still a threat if you’re not vaccinated

TSA reports highest traveler numbers since March 2020


Marijuana News, Updates, & Articles of Interest
THE DCD MARIJUANA TEAM:  YOUR COMPETITIVE EDGE
DCD continues to exist as the premier resource helping municipalities navigate the waters of cannabis policy. We would be more than happy to answer any questions you may have regarding medical or recreational cannabis policy, procedure, and more. DCD is available for presentations to municipal boards, for one-on-one meetings, and for consultations.

We are here to help you with: municipal lobbying, license application writing and assistance, business plans, state required operations manuals and compliance, facility design, corporate structure, and design and branding. 

We are experts in both medical and recreational cannabis policy and have been in the space for over ten years.  We welcome any opportunity to work with you in the future!


ARTICLES OF CANNABIS INTEREST:

The Way Forward: ‘Essential’ designation could pay benefits for cannabis business

Lume Cannabis Co. To Become Exclusive Cannabis Brand Of DTE Energy Music Theatre Through New Partnership

Troy cannabis extraction equipment maker merges to create industry giant

Detroit’s adult-use marijuana ordinance ‘likely unconstitutional,’ judge says

Feds talk cannabis with state regulators


Doing Things Differently
DCD is rebranding, and our bottom line is your bottom line. We are striving to create and foster strong relationships with clients and lawmakers, deliver results with strong ethics and class, but above all else, out-hustle and out-smart our competition every day to be the very best.

We’re making chess moves while others are playing checkers. Everything we do is with you in mind, we’re doing things we’ve never done before and aggressively pursuing opportunities. The time is now. DCD has taken our firm to the next level and your involvement and investment paired with our knowledge and expertise is going to launch the great state of Michigan forward.

Dunaskiss.biz | 248.693.1391

 

Mid June, 2021 Newsletter


DHHS Outlines Latest Vax Strategies As 60% Have First Dose

As Gongwer reports, with 60 percent of Michigan residents 16 and older receiving their first dose of the coronavirus vaccine, the Department of Health and Human Services said its goal is to get 70 percent vaccinated as soon as possible.

While the state reached the 60 percent threshold this week, the number of people receiving their first doses continues to decline, data from the Senate Fiscal Agency shows.

Data shows that 21,708 people in the week of May 24 were getting their first doses daily. The week of June 2, that dropped to 10,291 and this week, it dropped again to 8,843.

To reach 70 percent of the 16 and older population vaccinated, a key metric tied to herd immunity and the federal government’s goal by July 4, it would take 813,200 more doses administered. This would take until September 8, 2021, at the current rate.

DHHS defines its official goals in an interim strategy presentation posted this week as getting 70 percent of the 16 and older population vaccinated as soon as possible. The agency also seeks to have 95 percent of people get their second dose within the expected time frame and have zero disparity in vaccine rates across racial and ethnic groups or by social vulnerability index.

Additionally, the agency wants to ensure no resident has to drive more than 20 minutes to reach a vaccine site.

To get more people vaccinated, DHHS is working to support mobile clinics, school-based health centers, community vaccinators and more to specifically target vulnerable populations.

For homebound, disabled, migrant and transient populations, DHHS is utilizing EMS, fire departments, mobile strike teams and other partners to implement strategies.

Additionally, the agency is working to assure broad access to the vaccine at pediatrician offices, family practice offices and dialysis centers while also working with pharmacies, colleges and universities to offer vaccines in targeted areas.

Finally, the agency will work to leverage existing nontraditional spaces like casinos, nail salons, barber shops and syringe service programs.

Lynn Sutfin, spokesperson for DHHS, said it is focusing on bringing vaccines into the communities where Michiganders live through community clinics, primary care physicians and mobile clinics.

Governor Gretchen Whitmer praised the state reaching the 60 percent threshold in a statement on Friday.

"We can all feel a sense of optimism thanks to the tireless efforts of countless frontline workers who put their own safety on the line to keep the rest of us going. And we are tremendously grateful to the medical community who kept us all safe and created the safe, effective vaccines, all miracles of modern science," she said. "As we cross the 60 percent milestone in vaccinations, we are seeing cases, deaths, and hospitalizations continue to fall fast, which has helped to poise our economy for a strong recovery. I know that we can give Michigan the economic jumpstart it needs with the billions in available federal funds and our multi-billion dollar budget surplus. We will emerge from this once-in-a-century pandemic stronger than ever, and I am confident that we can make lasting, transformative investments in our schools, small businesses, and communities to help them thrive."

Huge May Brings State Another Billion; July 1 Deadline May Be Delayed
An unprecedented surge of revenues in May that exceeded a three-week old forecast by $1 billion means Governor Gretchen Whitmer and the Legislature now have $4.5 billion in unanticipated state revenues to consider when putting together the upcoming fiscal year budget as well as supplementals for the current year.

From a technical standpoint, the surplus is still $3.5 billion because that’s what was agreed to at the May 21 Consensus Revenue Estimating Conference.

But the reports released Thursday from the House and Senate Fiscal agencies on May revenues unquestionably changes the complexion of the budget process. The HFA report shows General Fund revenues were $752.1 million above the forecast and $258.7 million above expectations for the School Aid Fund. The SFA report said General Fund revenues were $709.6 million above the expected level with School Aid Fund revenues $298.7 above the forecast. The Department of Treasury puts revenues at $920 million over the estimate.

While budget target negotiations are said by sources to be going well, doubts are creeping in that the Whitmer administration and legislators can complete the entire budget by the July 1 deadline. That prompted Sen. Jim Stamas (R-Midland), chair of the Senate Appropriations Committee Track, to introduce a bill (SB 537) Thursday to lift that deadline for this year, effectively pushing it to September 30, when the current fiscal year ends.

Annual payments from the individual income tax accounted for more than 80 percent of the difference with the stock market recovery also driving revenues upward. The tax deadline was moved from April 15 to mid-May this year, but forecasters knew that would change the usual revenue to the state when they met for the Consensus Revenue Estimating Conference. The fiscal agencies said annual payments in May were the highest on record for any single month.

For revenues to exceed the forecast in a single month by as much as $1 billion is unheard of. Even more remarkable is that the forecasting differential occurred in the month of the actual revenue conference, when the forecast is usually at its most accurate.

This means Ms. Whitmer and the Legislature now have $4.5 billion more in General and School Aid fund revenues available to spend than expected at the start of the calendar year for the current 2020-21 and upcoming 2021-22 fiscal years.

The $3.5 billion more they thought they had after the May 21 revenue conference already was historic.

"It’s the annual payments that are the driver," House Fiscal Agency Director Mary Ann Cleary said. "I think we’re all looking at why."

Treasury spokesperson Ron Leix said other states and the federal government have seen the same revenue surge.

At the May 21 conference, there was a recognition among those who set the forecast that all of the federal coronavirus relief injected into the economy for the past year could have unexpected effects. There was also the movement of the federal and state income tax deadlines from April 15 to May 17.

"We were concerned that we were obviously going to miss something," she said.

Asked if analysts in her office were shocked by the May numbers, Ms. Cleary said, "We’re surprised, yes."

What is unclear is how much of the $1 billion from May is a one-time surge and how much will be ongoing, she said.

Mr. Leix warned there is some risk because some of the surge in May annual income tax payments could be offset by lower annual payments next year.

"In other words, the fact that we are up $920 million for the month doesn’t necessarily mean that we are going to have revenue totals come in $920 million above the overall CREC agreement we just put together," he said.

After the ugly fight over the 2019-20 fiscal year budget that went past the October 1 deadline, Ms. Whitmer and Republican legislative leaders agreed to set a July 1 deadline in statute for passing and presenting the budget to the governor.

However, the requirement was skipped for 2020 after the uncertainty caused by the COVID-19 pandemic. Now it might be skipped again.

Usually after the May revenue conference, completing the budget is about meeting in the middle between the House, Senate and governor and taking care of some of each entity’s priorities. With $3.5 billion more in revenue from the revenue conference, combined with $6.5 billion in American Rescue Plan aid from the federal government, the administration and legislators in some ways are starting the budget process from the beginning plus trying to figure out supplemental appropriations bills of staggering dimensions. And now there’s another billion in the state’s coffers that was unexpected.

Mr. Stamas said the move to push back the budget deadline requirement is the opposite problem of 2020, with this time being an issue of determining how to craft the budget given the large increase in available dollars and over what federal relief funds to use in the budgeting process. He considered the bill as being a precautionary measure.

"I think we’re going to get a good part of it done," Mr. Stamas said. "But I’m not confident at the moment we’re going to be able to get the whole thing done."

State Budget Office spokesperson Kurt Weiss said the administration had no comment regarding the July 1 deadline.

When asked about reaching budget targets, Mr. Stamas said it’s "very possible" those could be reached yet this week.

As to the increased revenue reported by the House Fiscal Agency, Mr. Stamas said he does not believe that would change the budget discussions much since budget leaders are going off of the May consensus revenue estimate. Those additional funds could come into play in January 2022 and moving forward on a future budget as it relates to ongoing expenses, he said.

House Appropriations Chair Rep. Thomas Albert (R-Lowell) said the revenue numbers revealed Thursday are more of the same in what the state has seen during the last six months.

"But the strategy doesn’t change, I’m still very cautious about how the next year might go, so we’ll still look at making strategic investments where we can and try to put ourselves in a good position if the economy goes south over the next year," Mr. Albert said.

When asked about the bill from Mr. Stamas, Mr. Albert also said he is working night and day on the budget and still focused on finishing work by July 1.

Without revealing many details, Mr. Albert said he expected targets to be set "in the near future."

"We’re getting very close," he said.

News of the additional billion only added to what one person following the budget described as a "feeding frenzy" of stakeholders trying to get their priorities funded.

For the month, sales tax collections were the second-highest on record and above $100 million for the third consecutive month and ninth month since June 2020.

Regulatory Reform Panel Discusses Marijuana-Related Packages
Two bill packages related to marijuana licensing and regulations for an intoxicating synthetic hemp-derivative not covered by the state’s recreational pot laws were discussed by Senate committee Tuesday, the latter of which was passed by the House late last month.

Members of the Senate Regulatory Reform Committee Trackon Tuesday also heard testimony on a slate of several bills unrelated to marijuana, including a bill to curb executive branch use of the state’s emergency alert system, new interest rates for pawnbrokers and two that would assist policing of the Detroit public transit, and another to create a state holiday celebrating Juneteenth.

Regarding marijuana, the committee heard continuing testimony on a large package that would regulate the Delta-8 THC derivative found in industrial hemp that is currently being sold as an unregulated intoxicating substance in convenience stores, smoke shops and gas stations – facilities that cannot sell licensed adult-use or medical THC products.

The package includes HB 4516, HB 4517, HB 4740, HB 4741, HB 4742, HB 4743, HB 4744, HB 4745 and HB 4746. Each of the bills passed in the House in late May (See Gongwer Michigan Report, May 27, 2021).

Rep. Yousef Rabhi (D-Ann Arbor) and Rep. Jim Lilly (R-Park Township) gave brief testimony on behalf of the various other sponsors, reiterating that their bills would address the Delta-8 THC issue while the remaining slate would update definitions regarding hemp in a swath of acts regulating marijuana, as well as the Public Health and Liquor Control codes.

Mr. Rabhi said the chief concern is not that people have access to a new THC product, but that it is currently untested, unlicensed and exists in a space outside of existing marijuana regulations. There were also concerns from the bill sponsors and stakeholders that consumers might not know that they are purchasing an intoxicating marijuana product that is produced synthetically.

Testifying in favor of the changes was Marijuana Regulatory Agency Director Andrew Brisbo, who echoed Mr. Rabhi’s testimony and concerns.

Sen. Jeremy Moss (D-Southfield) said that the package was a step in the right direction instead of outright banning Delta-8, though wondered what would happen to product caches if stores purchased them in high quantities to sell – cashing in on what appeared to be a good investment – but could no longer do so under the pending legislation.

Mr. Brisbo didn’t say whether the state would confiscate those products or if operators had to trash them if and when the legislation became law. He did say, however, that the bills do not offer a grace period to stop selling the products as minimizing the risk to public health and safety was paramount.

Unrelated to that package, the committee heard opening testimony on SB 461 and SB 462, sponsored by Sen. Curt VanderWall (R-Ludington) and Sen. Paul Wojno (D-Warren), respectively.

The bills would amend the Medical Marihuana Facilities Licensing Act to require proof of financial responsibility for legal liabilities and to modify language related to licensing, making approval of an application contingent on compliance with the new financial responsibility requirements.


ARTICLES OF POLITICAL INTEREST:

Michigan Supreme Court: Elections panel must certify petition to repeal emergency law

Western Michigan University gets $550-million donation, a national record

Republicans push Michigan to forgive COVID-19-related business fines

Kwame Kilpatrick set to preach in Detroit this weekend, wants nothing to do with city politics

Health systems mull how, when to require vaccines for their workers


Marijuana News, Updates, & Articles of Interest

THE DCD MARIJUANA TEAM:  YOUR COMPETITIVE EDGE
DCD continues to exist as the premier resource helping municipalities navigate the waters of cannabis policy. We would be more than happy to answer any questions you may have regarding medical or recreational cannabis policy, procedure, and more. DCD is available for presentations to municipal boards, for one-on-one meetings, and for consultations.

We are here to help you with: municipal lobbying, license application writing and assistance, business plans, state required operations manuals and compliance, facility design, corporate structure, and design and branding. 

We are experts in both medical and recreational cannabis policy and have been in the space for over ten years.  We welcome any opportunity to work with you in the future! 


ARTICLES OF CANNABIS INTEREST:

Flushing Township board tables ‘restrictive’ marijuana ordinance, language to be reworked

Amazon will no longer test jobseekers for marijuana, backs legislation for legal weed

Michigan bill would restrict Delta-8 THC to licensed dispensaries 

Poll: 1 in 3 Michiganders would look favorably on a politician who is open about marijuana use 

Marijuana legalization has not spurred an increase in use among youth, contradicting prohibitionists 


Doing Things Differently

DCD is rebranding, and our bottom line is your bottom line. We are striving to create and foster strong relationships with clients and lawmakers, deliver results with strong ethics and class, but above all else, out-hustle and out-smart our competition every day to be the very best.

We’re making chess moves while others are playing checkers. Everything we do is with you in mind, we’re doing things we’ve never done before and aggressively pursuing opportunities. The time is now. DCD has taken our firm to the next level and your involvement and investment paired with our knowledge and expertise is going to launch the great state of Michigan forward.

Dunaskiss.biz | 248.693.1391

Early June, 2021 Newsletter


Groups Continue to Urge Amendments to Pending No-Fault Fee Schedule
As reported by Gongwer, those representing disabled individuals and others suffering from catastrophic injuries due to automobile crashes renewed calls this week for the Legislature to make additional changes to the state’s no-fault auto insurance law to prevent what they called devastating reductions to reimbursement rates for services from insurance providers.

At issue for some businesses urging further no-fault law changes was the issue of a 45 percent provider rate cut under the 2019 auto insurance overhaul’s new mandated fee schedule.

Groups have contended that the changes, effective July 1, will lead to rehabilitation clinics and specialty physicians being put out of business due to the reimbursement rate cuts.

The groups were also calling for the passage of HB 4486 and SB 314, which would revise reimbursement provisions and medical treatment benefits for rehabilitation clinics and brain injury clinics back to their 2019 levels. During a recent press conference supporters of the proposed changes urged lawmakers to act, while insurance industry officials stood by the 2019 law changes.

A recent study by the Michigan Brain Injury Provider Council said that about eight of every 10 facilities could be shuttered if the rate cut goes into effect. The group’s president, Tom Judd, in a statement called on the Legislature to take up the legislation and not let critical businesses go under.

"As predicted, we’re seeing the first group of health care businesses announce their impending closures due to the slash in reimbursements," Mr. Judd said. "There will certainly be more. This scenario is entirely avoidable – if only our legislative leaders were willing to put vulnerable constituents ahead of the insurance lobby."

Hope Network CEO Phil Weaver on Thursday sent an open letter to insurance industry executives in the state, asking them to negotiate a solution through the proposed legislation.

"The families and guardians of the people affected will struggle to find alternative care providers that can manage their complex care needs at drastically reduced reimbursements," Mr. Weaver wrote. "Time is running out for the Legislature to act before the 2019 law goes into effect. We ask that you step up and offer a solution that honors the policies of thousands of disabled people in Michigan count on. If you do not, it will be a clear signal to the people of Michigan that your profits are more important than standing behind your policies and protecting the lives of those who you claim to care about."

Republican leaders in the Legislature have not indicated an appetite to address the law before the July 1 changes take effect. Rehabilitation and brain injury clinics, and those representing them, have been sounding the alarm about the upcoming changes for weeks.

Roadside Saliva Tests Could Be Used For Drug Impairment Under Howell Bill
Police in Michigan would be allowed to use oral fluid roadside tests to detect the presence of drugs in an intoxicated driver’s saliva under legislation considered this week by the House Judiciary Committee.

The bill would allow for tests of other bodily fluids, beyond blood, breath and urine, as well.

What sponsor Rep. Gary Howell (R-North Branch) said what he is not trying to do with HB 4701 is set a level in law of what would be considered impairment. He explained the science is not clear what level of drugs in someone’s system should count as impairment.

"With the legalization of marijuana and the popularity of drugs, we are quickly finding that drunk driving is not the sole issue that we’ve got to deal (with) on road safety. We need to deal with properly enforcing safe driving laws. How do we identify those that are under the influence of drugs? It has presented a real problem for our law enforcement community," Howell told the committee.

Howell did note that some officers have been specially trained, referred to as drug recognition experts (DREs) to develop an expertise to ask the right questions, observe the right behaviors, and "come to a reasonably accurate conclusion as to whether somebody is under the influence of drugs.

"But, obviously, that presents a real problem of manpower, training, availability, and more importantly it is a time-consuming, challenging process," Howell said.

While he is not setting a standard in the law for drugs in someone’s system that would count as impairment, he explained that is because "I don’t believe we’ve got the information at this point in time to do that."

When the science can determine impairment levels of marijuana and other drugs, those could be added to the law, Howell said.

That led committee members to balk a bit. Rep. Steven Johnson (R-Wayland) said that for preliminary breath tests, there is the .08 blood-alcohol content (BAC) limit.

"If they get an .03, you are good to go," Johnson said. "I feel we almost need a number here, otherwise law enforcement is going to have no idea what is acceptable to bring someone in and what isn’t acceptable . . . But should we have some sort of standard here, because I don’t want to put law enforcement in a tough position."

Bridget Lorenz Lemberg, toxicologist with Forensic Fluids Laboratories in Kalamazoo, said her company has partnered with the Michigan State Police to run two studies of such roadside tests in what she said were the largest ever conducted in the U.S. comparing results of oral fluid tests with blood tests and DREs for a variety of drugs.

Some 19 states have set levels for what counts as impairment as have other countries, including European countries, Brazil and Canada, she said.

Lemberg explained the oral tests don’t require a blood draw and results come back in 18 hours. She also said the tests can distinguish between marijuana and CBD oil.

The committee did not vote on the bill. Chair Graham Filler (R-DeWitt) explained the committee had a lot questions, so he believed there would be further discussion.

Livingston County Sheriff Mike Murphy, who is also president of the Michigan Sheriff’s Association, said the organization has not taken a position yet on oral drug tests because they’re not proven technology.

Speaking as the sheriff, Murphy said he doesn’t know if the bill or a set level is really needed. The operating while intoxicated (OWI) law allows police to arrest based on field sobriety tests if the officer is willing to testify that the driver was operating the vehicle and was "visibly and substantially impaired."

"We’ve already got the ability to do that without a magic number test. Again, is it another tool in the toolbox? Yes. Do we need it? I don’t know," Murphy said.

He said the testimony of DREs, who take intensive training, does hold up in court.

"I come in as a drug recognition expert and say when I pulled this guy over because his car was weaving. I get him out and I do my field sobriety tests. Based on my 8,000 people that I’ve done sobriety tests on before, he was definitely on something," Murphy explained. "And then we get breath, blood or urine and it comes back that you’ve got whatever it is in your system. That is enough to seal the deal for an OWI."

Short Term Rental Bills Divide Cities, Realtors, Hosts
Two Michigan bills that could change the way cities approach short-term home rentals have created intense debate around who gets to determine how to regulate these dwellings, more popularly known as Airbnb or vacation rentals.

The issue has put interested groups such as the Ann Arbor-based Michigan Municipal League and Lansing-based Michigan Realtors on opposite sides with each asking its constituents to email, call and write to their local legislators about the bills.

The Michigan Municipal League last week held a Zoom call during which officials outlined their stance against Michigan Senate Bill 446 and House Bill 4722, both of which have similar wording. MML Legislative Associate Jennifer Rigterink said the two bills would limit a city’s ability to create a short-term rental solution that fits its needs, especially in Michigan’s tourism-heavy municipalities.

"We’re not opposed to short-term rentals. We’re opposed to a big government, one-size-fits-all solution," Rigterink said.

The two bills would amend the Michigan Zoning Enabling Act. Rep. Sarah Lightner, R-Springport, introduced the House bill in late April. Sen. Aric Nesbitt, R-Lawton, introduced the Senate bill on May 13. Under the bills, for the purposes of zoning, a short-term rental would be a residential use of property and a permitted use in all residential zones. It would not be subject to a special use or conditional use permit or procedure different from those required for other dwellings in the same zone. Also, it would not be a commercial use of property.

The two bills define short-term rental as the rental of a single-family home, a one- to four-family house or any unit or group of units in a condominium for a term of not more than 30 consecutive days.

The Michigan Municipal League opposes the bills because its members that have or want short-term rental ordinances may see their local rental-inspection programs put in jeopardy, its regulations made null and void and businesses buying up homes to serve as "mini-hotels," creating issues around housing supply and affordability.

Cities such as Boyne City in northern Michigan, which is considering a short-term rental ordinance, as well as areas such as Frankenmuth, which already has an ordinance, spoke during the recent Zoom call. They called the bills a "cookie-cutter approach" to legislation that ignores the different needs among Michigan cities when it comes to regulating short-term rentals.

"Local government needs to have the opportunity to set standards that benefit their community," said Michael Zehnder, a fourth-generation family member who serves as the general manager of the Bavarian Inn lodge in Frankenmuth and a short-term rental owner.

However, groups such as Lansing-based Michigan Realtors are asking people to support the two bills, noting that they "protect the rights of property owners" and "stop local government overreach … (that) are short-sighted and negatively impact local economies." Michigan Realtors says it supports "reasonable regulation of short-term rentals outside of zoning."

The Michigan House and Senate recently held hearings on the bills, and Ferndale Mayor Melanie Piana spoke against them. Piana, a former Michigan Municipal League board of trustees president, said Ferndale has put long hours into creating its own short-term rental ordinance and she doesn’t want these bills to change that.

"We took a path that was middle of the road," Piana said. "Our residents felt there was a benefit to having short-term rentals in our community, but we needed better tools in place for our city to manage the problematic ones."

Its new ordinance passed in March following a January incident where there was a shooting requiring police intervention at a Ferndale short-term rental. No one was hurt, Piana said, but cities including Ferndale sought ordinances to ensure "best practices" are in place when incidents such as this occur.

The city of Detroit has had a ban since November 2017 on short-term rentals in properties that are zoned R1 and R2. Generally, however, officials and short-term rental owners agree the ban hasn’t been enforced. Detroit neighborhoods with single-family homes are generally zoned as R1 districts and R2 districts can contain single-family or two-family dwellings.

Detroit City Council member Janeé Ayers in 2019 suggested an updated short-term rental ordinance would include a variety of requirements, including an annual registration fee, require short-term rentals to be more than 1,000 feet from one another, be the owner’s principal residence and not rented for more than 90 cumulative days per year. There has been no new discussion of this ordinance change since some initial hearings in 2019.

Nathan Jaganath Andren has watched Detroit and other cities debate how to handle short-term rentals for more than a decade — and he understands how issues around the rapid-fire growth of Airbnb has fueled this discussion. Andren was the first Airbnb host in Detroit in 2009. His Airbnb listing, a single-family home called Detroit Loves You Guest Home on the Airbnb website, is his full-time occupation.

He said that he and other Airbnb owners have been burned when cities unexpectedly change their ordinances, some even banning Airbnb outright. He said short-term rentals, when done right, boost home values, create more stable communities and benefit Realtors, homeowners and renters.

"It’s hard to make decisions about what to do in this business and what cities to support," Andren said, noting that he is watching these two bills as well as what Detroit is planning closely. "Clarity is better. Uncertainty hurts investment."


ARTICLES OF POLITICAL INTEREST:

Benson Defends Secretary of State Branches Appointment-Only System Amid Scrutiny

As Capacity Limits Rise, Convention Business Gets Back to Work

Senate Bill Could Help Semiconductor Woes

Consumers Energy Will Charge 50% More For Afternoon Electricity Starting June 1st

House Passes Bills That Increase Penalties for Absentee Ballot Fraud


ARE YOU STILL IN NEED OF A COVID VACCINE??  CONSIDER HONOR COMMUNITY HEALTH
Honor Community Health is a nonprofit, 501(c)(3) community health center providing comprehensive and integrated primary, behavioral health and dental care throughout Oakland County, Michigan. Honor Community Health is designated as a Federally Qualified Health Center by the Health Resources and Services Administration (HRSA).

Honor Community Health cares for and about people. Plain and simple. They strive to be your partner in health – helping you with your needs, including transportation, cost, translation, and others. Honor Community Health provides services open to anyone and everyone – regardless of ability to pay, insurance status, or place of residence.

In addition, our great friend and Honor CEO, Deb Brinson, has graciously offered vaccine help to any DCD clients that are looking to get their families or staff vaccinated.  To sign up for the Covid-19 vaccine – click here

If you have additional questions on the vaccine, or about how to get on the list, please feel free to call DCD @ 248.693.1391 or call Honor Health directly @ 248.724.7600.


Marijuana News, Updates, & Articles of Interest

THE DCD MARIJUANA TEAM:  YOUR COMPETITIVE EDGE
DCD continues to exist as the premier resource helping municipalities navigate the waters of cannabis policy. We would be more than happy to answer any questions you may have regarding medical or recreational cannabis policy, procedure, and more. DCD is available for presentations to municipal boards, for one-on-one meetings, and for consultations.

We are here to help you with: municipal lobbying, license application writing and assistance, business plans, state required operations manuals and compliance, facility design, corporate structure, and design and branding. 

We are experts in both medical and recreational cannabis policy and have been in the space for over ten years.  We welcome any opportunity to work with you in the future! 


ARTICLES OF CANNABIS INTEREST:

Why the Pandemic was a Breakout Moment for the Cannabis Industry

Connecticut State Senate to Discuss legalizing Recreational Marijuana

Michigan Bills Look to Tighten the Definition of Marijuana

Cannabis Retailers Ease COVID Restrictions, But Many Require Masks, Other Steps

Power REIT Strikes $18.5M Deal to Acquire Michigan Cannabis Greenhouse


Doing Things Differently

DCD is rebranding, and our bottom line is your bottom line. We are striving to create and foster strong relationships with clients and lawmakers, deliver results with strong ethics and class, but above all else, out-hustle and out-smart our competition every day to be the very best.

We’re making chess moves while others are playing checkers. Everything we do is with you in mind, we’re doing things we’ve never done before and aggressively pursuing opportunities. The time is now. DCD has taken our firm to the next level and your involvement and investment paired with our knowledge and expertise is going to launch the great state of Michigan forward.

Dunaskiss.biz | 248.693.1391

Mid-May, 2021 Newsletter


GOP Leadership Pushes For Lifting of All Mandates in Wake of Mask Mandate Lift
News late last week that Michigan is lifting mask requirements for vaccinated people in all settings brought a flurry of reactions, most calling on the Governor to remove all remaining restrictions.

"A few weeks ago, Michigan finally rejected the old, failed path of one-size-fits-all mandates and restrictions that took away people’s jobs, schools and critical services," said House Speaker Jason Wentworth in a press release.

"But even after today’s announcement, we are still a few steps behind other states around the country that have trusted their local residents and enjoyed better health outcomes," he said. Wentworth urged the Governor to "keep going" and allow "everyone to go back to work and return to their normal lives."

Gov. Gretchen Whitmer announced last week that, based on Centers for Disease Control and Prevention (CDC) guidelines, "fully vaccinated people no longer need to wear a mask or physically distance in any setting," except where required to by federal, state, local laws, rules, and workplace regulations.

Outdoors, no one will have to wear a mask. Indoors, those not vaccinated or who haven’t completed vaccination should still wear masks.

After July 1, the broad indoor mask mandate will expire, according to the press release. 

Wentworth called for the July 1 expiration to be moved up.

"There is no science that says July 1 is a safer date to stop wearing a mask than any other day; it is just a round number on the calendar. Let’s move it up sooner, embrace the strategy of trust that’s working right now and move Michigan past this pandemic," Wentworth said.

Senate Majority Leader Mike Shirkey said he’s pleased the CDC and Michigan have gotten in alignment with the current science, but today’s decision "begs more questions than it answers."

For starters, how does the Governor reconcile the actions still being taken by her administration, in particular the Michigan Occupational Safety and Health Administration (MIOSHA) workplace rules related to COVID-19 safety?

"The temporary rules were initially put in place to help stop the spread of COVID-19 and keep people safe," said President Pro Tem Aric Nesbitt. "It’s now one year later and businesses have made major investments in safety equipment to create a safe atmosphere for both employees and patrons."

Nesbitt said the second extension of the rules currently expires in October, but the agency has announced it is taking steps to make them permanent. He said it is "time we ease some of these burdens on businesses rather than considering making them long-term policy."

Sen. John Bizon and Sen. Curt Vanderwall also called for input on the MIOSHA rules.

"This is a clear case of government overreach on the part of the Whitmer administration," Bizon said. "It is absurd to think that once the coronavirus pandemic is behind us and the threat is gone, we should continue to follow rules put in place in response to the crisis."

Rep. Andrew Fink said the Governor’s decision-making throughout the pandemic "has made a mockery of self-government."

"While I am pleased to see common-sense changes being made to our state’s mask mandates today, it is clear the Governor is simply aligning with the Biden administration and continues to use the pandemic as a means of advancing her own political standings," Fink said. "Just two weeks ago, Gov. Whitmer required two-year-old children to wear masks. Today, she has taken an entirely new position on masks."

Others reacted as well. Scott Ellis, executive director of the Michigan Licensed Beverage Association (MLBA), said the lifting of the mandate will create conflict and confusion "between patrons and hospitality employees." The next step is to get MIOSHA and the Michigan Department of Health and Human Services (DHHS) on the same page, he said.

"MIOSHA needs to update their workplace safety rules that contradict with the new MDHHS order and CDC guidelines," he said.

Until MIOSHA updates these rules, all employees must still wear masks in the workplace.

"Right now, employers are caught in a bad spot and MIOSHA needs to step up," Ellis said.

The Saginaw Transit Authority Regional Services (STARS) announced it will still require passengers to wear masks while riding.

"While I applaud this progress, I ask the community to respect our drivers and riders, continue to be safe, and mask up on all public transportation services even when fully vaccinated," said Glenn Steffens, STARS executive director.

He said the CDC, Transportation Security Administration and Homeland Security have not changed mask rules or recommendations for public transit.

The State Court Administrative Office also announced today they are the keeping the use of face coverings and social distancing in place in all Michigan courts.

Nonprofit Paid for Whitmer’s Florida Trip
A nonprofit set up to cover the costs of the transition process between the time Governor Gretchen Whitmer won election in 2018 and took office about seven weeks later paid almost $27,000 to cover the cost of a chartered flight for Ms. Whitmer to visit her ailing father in Florida, the governor’s office disclosed Friday.

Ms. Whitmer has been under scrutiny for the past month over her trip to Florida between March 12-15.

Much of that criticism appears to contradict the facts of what happened. Republicans have claimed Ms. Whitmer showed hypocrisy in traveling to Florida but there were no travel restrictions in place at the time and the state had only started to see a rise in coronavirus cases at that point. Additionally, while Ms. Whitmer had expressed "concern" about spring break travel to Florida, there is a big difference between the typical break scene and going to care for an ailing relative.

Further, Department of Health and Human Services guidance advising against travel did not come for another three weeks, in early April.

However, the one question that had appeared resonant was how Ms. Whitmer got to Florida. A week ago, Deadline Detroit first reported that Ms. Whitmer had flown aboard a high-end jet owned by some of the state’s top business executives – PVS Chemical Co-Chair Jim Nicholson, Ambassador Bridge owner Matthew Moroun and the Cotton family. Mr. Nicholson and Mr. Moroun own companies heavily regulated and permitted by state government.

Ms. Whitmer for some time had attempted to dodge questions, only saying the flight was not a gift and not paid for at taxpayer expense, and even said a couple times she had said all she was going to say on the topic.

Friday appeared an acknowledgement that failing to explain how she covered the cost of an expensive flight was untenable.

In a memo to Executive Office staff, Chief of Staff JoAnne Huls said "we made a decision" because of ongoing security and public health concerns to use a chartered flight. At the time of the trip, Ms. Whitmer had not been vaccinated. And she has been the subject of many death threats, one of which resulted in criminal charges. There’s also the extensive federal charges against men who plotted to kidnap her.

The cost for the flight was $27,521. Ms. Whitmer paid $855 of that for the cost of her seat.

Paying for the trip was the nonprofit fund Michigan Transition 2019, which the memo said "defrays the cost of the governor’s travel when it’s consistent with the account’s purposes and not covered by taxpayers." This was an account set up to cover the cost of the transition. Now called the Executive Office Account, it has accepted money from corporations, other nonprofits and associations.

"Given the extraordinary and ongoing threats to the life and safety of the governor and her family, we do not generally comment on the governor’s personal schedule. However, I fully expect Republican party officials will continue to make political attacks against the governor and her family, so I wanted you to have the facts," Ms. Huls said. "As chief of staff, I acknowledge we could have done a better job of answering questions about this trip with more clarity while also balancing the need to protect the governor’s security, and for that I take responsibility."

Ms. Huls also said the health of Ms. Whitmer’s father, Dick Whitmer, "deteriorated" after she returned to Michigan. His physicians at the University of Michigan asked him to return to Michigan, where he has a residence in East Lansing, to be re-evaluated. Ms. Whitmer personally took her father to Ann Arbor on Monday, where he underwent a procedure to start intravenous antibiotics. The procedure was successful, Ms. Huls said.

One of the immediate questions raised in the aftermath of the disclosure, which had all the hallmarks of a Friday news dump coming late in the afternoon, was whether the cost of Ms. Whitmer’s travel for an ostensibly personal trip was an acceptable use of the nonprofit. The governor has said she worked while in Florida.

In her memo, Ms. Huls said the Executive Office Account "defrays the cost of the governor’s travel when it’s consistent with the account’s purposes and not covered by taxpayers." She also said payment was "done in compliance with the law."

Republicans, however, questioned that assertion.

"This is not a legitimate expenditure for a 501(c)4," said Chris Gustafson of the Republican Governors Association.

Tori Sachs of the conservative super PAC Michigan Rising Action said, "There is no legal theory where reimbursing $800 for a $27,000 flight solves anything. Whitmer’s use of her 501(c)4 account funds must be investigated."


Internet Sports Betting Drops Significantly After March Madness
Internet sports betting operators handled $249.9 million in April, more than $100 million less than in March, a predictable scenario given the NCAA basketball tournament that took place last month was a boon for the new industry.

Internet gaming operators in Michigan reported $94.85 million in internet gaming gross receipts for April. Internet sports betting operators received $20.38 million in total gross sports betting receipts and reported a total handle of $249.9 million for the month.

"While the sports betting handle dropped 30-plus percent, which we expected the month after March Madness, internet casino gaming adjusted gross receipts held steady with a slight two-tenths of a percent increase in April," Michigan Gaming Control Board Executive Director Richard Kalm said in a statement.

Taxes and payments are based on adjusted gross receipts, which were $88.87 million for internet gaming and $10.88 million for internet sports betting during April. Adjusted gross receipts include deductions for the monetary value of free play incentives provided to and wagered by bettors. The operators delivered approximately $18.1 million in taxes and payments to the state of Michigan for April.

For internet gaming, the state receives 70 percent of the total tax from the commercial operators and 80 percent of the total payment from tribal operators. The tax and payment rate ranges from 20 percent to 28 percent based on annual adjusted gross receipts.

For internet sports betting, commercial operators pay 70 percent of the 8.4 percent tax to the state and 30 percent to the city of Detroit. Tribal operators make an 8.4 percent payment to the state on adjusted gross sports betting receipts.

The three Detroit casinos reported city wagering taxes and municipal services fees of $5.4 million for April with $5.2 million in internet gaming taxes and fees and $186,939 in internet sports betting taxes and fees. Tribal operators reported $1.8 million of wagering payments to the tribes’ governing bodies.


ARTICLES OF POLITICAL INTEREST:

State Prosecutor Removed From Whitmer Case Over Ethics Issue

New Bills Would Change How Gravel Mines Are Approved in Michigan

Senate Approves Billions in Budget Bills

Water Wars:  Should Michigan Worry About Water Diverted From Great Lakes?

Planning A Return to the Office?  Here’s What to Know…


ARE YOU STILL IN NEED OF A COVID VACCINE??  CONSIDER HONOR COMMUNITY HEALTH
Honor Community Health is a nonprofit, 501(c)(3) community health center providing comprehensive and integrated primary, behavioral health and dental care throughout Oakland County, Michigan. Honor Community Health is designated as a Federally Qualified Health Center by the Health Resources and Services Administration (HRSA).

Honor Community Health cares for and about people. Plain and simple. They strive to be your partner in health – helping you with your needs, including transportation, cost, translation, and others. Honor Community Health provides services open to anyone and everyone – regardless of ability to pay, insurance status, or place of residence.

In addition, our great friend and Honor CEO, Deb Brinson, has graciously offered vaccine help to any DCD clients that are looking to get their families or staff vaccinated.  To sign up for the Covid-19 vaccine – click here

If you have additional questions on the vaccine, or about how to get on the list, please feel free to call DCD @ 248.693.1391 or call Honor Health directly @ 248.724.7600.


Marijuana News, Updates, & Articles of Interest

THE DCD MARIJUANA TEAM:  YOUR COMPETITIVE EDGE
DCD continues to exist as the premier resource helping municipalities navigate the waters of cannabis policy. We would be more than happy to answer any questions you may have regarding medical or recreational cannabis policy, procedure, and more. DCD is available for presentations to municipal boards, for one-on-one meetings, and for consultations.

We are here to help you with: municipal lobbying, license application writing and assistance, business plans, state required operations manuals and compliance, facility design, corporate structure, and design and branding. 

We are experts in both medical and recreational cannabis policy and have been in the space for over ten years.  We welcome any opportunity to work with you in the future! 


ARTICLES OF CANNABIS INTEREST:

Michigan Banking Groups Back Federal Cannabis Bill

Michigan Man Develops Award-Winning Cannabis Rub After ATV Accident

Michigan’s First Marijuana Consumption Lounge Approved for Ann Arbor

Michigan Cannabis Sales Increase 149% In April to %154 Million

America’s Most Conservative States Are Embracing Medical Pot


Doing Things Differently

DCD is rebranding, and our bottom line is your bottom line. We are striving to create and foster strong relationships with clients and lawmakers, deliver results with strong ethics and class, but above all else, out-hustle and out-smart our competition every day to be the very best.

We’re making chess moves while others are playing checkers. Everything we do is with you in mind, we’re doing things we’ve never done before and aggressively pursuing opportunities. The time is now. DCD has taken our firm to the next level and your involvement and investment paired with our knowledge and expertise is going to launch the great state of Michigan forward.

Dunaskiss.biz | 248.693.1391


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