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The audit found that 73 percent of all fatal crashes in a work zone had no analysis conducted by the department. Of the 30 fatal crashes auditors looked at, eight stated something could have been done. “Any time a construction worker is injured or killed in a worksite accident, MDOT must do everything it can to ensure that whatever failures led to the death are corrected to prevent future tragedies,” Wozniak said. “I hope that MDOT leadership is similarly concerned about these findings and would appreciate the opportunity to participate in a hearing to collaborate with lawmakers and help identify meaningful changes to protect workers and drivers.” The Work Zone Management Unit within MDOT is responsible for performing field investigations following worksite crashes. They also conduct field reviews of worksites to identify potential safety and mobility concerns. Wozniak said he would like to hold a hearing this summer, as this is the time of year when most road work is done. He added that this is too important a matter to allow it to languish until fall. House Ethics and Oversight Committee Chair Erin Byrnes (D-Dearborn) said in response to Wozniak’s statement, “Construction professionals build and maintain the roads and bridges we all use to get to and from work, back and forth from school, and to transport our goods all over the state. “These workers do an incredibly hard job and a critically necessary one — they absolutely need to be safe on the job site. I will continue reviewing the recent performance audit to determine the appropriate next steps.”
Hovey, appearing on MichMash, the podcast partnership between Gongwer News Service and WDET Detroit Public Radio, said the agency has traditionally been federally funded and focused on homeownership for residents below 80 percent of the median area income. “But that’s changed,” she said. “Now, we just say we are here to make sure every Michigander has a place to call home. And we really are all things housing.” Hovey noted with the housing crisis in Michigan and across the country, families at all income levels are housing vulnerable. On the funding side, for the first time, the state has allocated money to MSHDA, which it has more discretion over than the traditional federal funding stream it receives. The 2024-25 budget allocated $100 million to MSHDA. “It really is allowing us to work with communities across the state looking at housing for families all the way to 120 percent of the area median income,” she said. “So really the majority of Michigan families in our state are going to be eligible for projects we help finance.” Still, Hovey said the state is a long way off from filling the gap of needed housing. But, if the state can develop 115,000 to 140,000 more housing units, that will help bring rent prices down. “Right now, we are about 140,000 units short of where we need to be if we don’t grow as a state,” she said. “That is kind of that key number where we would see rent stabilize. In some markets in our state, we have seen rents go up 30 percent in a single year.” Hovey said homeownership is still critical though. The stability owning a home provides to communities, as well as the homeowner, is important. A program Hovey hopes to officially be able to announce in the coming months would allow MSHDA to reduce the interest rate on the mortgages it provides by 1 percent. She said a $50 million pilot program through a partnership with the Federal Home Loan Bank of Indianapolis is in the works. “We are really trying to think outside the box,” she said. “It is something our state agency has never done before. But we know that we have to do more to stabilize the housing situation for everyone in our state.”
And although business owners are getting anxious about the changes, which are expected to go into effect in February, it remains unclear if lawmakers plan to take action to address their concerns. Earlier this week, Governor Gretchen Whitmer said it was premature to say that the Legislature needed to do anything to address the situation, which Whitmer’s press secretary, Stacey LaRouche, reiterated on Friday. State Treasurer Rachael Eubanks also told Gongwer News Service earlier this week that she wanted additional clarity on the ruling as it relates to the minimum wage portion. Last month’s Supreme Court decision puts in motion an increase in the state’s minimum wage for regular and tipped workers as well as the change in paid sick time requirements. On the House and Senate sides, conversations are under way, but there are no immediate plans to take up legislation. “I expect conversations with stakeholders, caucus members and colleagues in the Senate to continue over the next few weeks,” Amber McCann, press secretary for House Speaker Joe Tate (D-Detroit), said. “No specific decisions have been made regarding potential legislative action.” Similarly, Rosie Jones, press secretary for Senate Majority Leader Winnie Brinks (D-Grand Rapids), said that the Senate team was still looking at the court decision and evaluating the information. Legislative Republicans, including House Minority Leader Matt Hall (R-Richland Township) and Senate Minority Leader Aric Nesbitt (R-Porter Township) have called on the Democratic majority to address the fallout of the ruling legislatively. If the change was just requiring paid leave, then business owners wouldn’t be concerned, said Brian Calley, president and CEO of the Small Business Association of Michigan. “I’m convinced that there’s not a single business in all of Michigan that is naturally doing it in the way that is required in this law,” he said. “The more people learn, the higher the anxiety goes, and the more people are really concerned about being able to even operate their business under the conditions required by this law.” Whether paid sick leave is required isn’t the concern, Calley said. “The top concerns are the ways that it harms employees, limits their options, makes their benefit packages less generous and less desirable and make it more difficult for business … to just run and manage their business,” he said. Calley said that most employees currently have a flexible leave bank. “The employee is in charge of what they use their leave for, and, if given the option, most employees will use the majority of their leave or vacation or flexible time,” he said. “If this law goes into effect as it is today, where it says that nine days a year must be dedicated to paid sick leave, it will reduce the amount of flexible and vacation time available to employees.” Calley said that the law would also require businesses to carefully keep track of how many hours employees work because of the accrual system, and overall, is more difficult for small businesses that don’t have the volume to comply with as many regulations. Another problem with the law, Calley said, is that businesses are “guilty until proven innocent.” “There’s presumptions in the law that say if a business is accused of not living up to this law, the presumption is that the business has done something wrong,” he said. Business owners are looking for changes that don’t take away from the spirit of the law, Calley said. “You could make it better for all employers, and I believe all employees with a couple of pretty straightforward fixes,” he said. Wendy Block, senior vice president of business advocacy for the Michigan Chamber of Commerce, said that as written, the legislation seems to micromanage businesses decision on how leave must be taken and given. “Even employers who have very generous paid time off plans today – we’re talking three, four, five plus weeks of time – will need to rethink their plan, if not completely start from scratch,” she said. “That a huge concern. … If you have a plan that works today, is very generous, works for the business and it works for the employee? We just don’t think it makes any sense to force those businesses to go back to the drawing board.” Block also mentioned concerns about how the legislation would regulate time off, allowing employes to give no notice about taking time off work. She said that with this law, Michigan would be the only state without a ghosting provision. “In practice, this means that employees will be entitled to 72 hours of no notice, intermittent leave time each calendar year, and that could very well exasperate staffing shortages,” she said. Employers also don’t have flexibility to front load time at the beginning of the year, Block said. “Employees actually have to work to accrue their time,” Block said. “That just doesn’t make sense for some employers.” Although business owners knew mandatory paid sick leave was a possible outcome of the Supreme Court’s decision, Block said they are frustrated that a ballot initiative is being put into effect without a vote and potentially without adjustments. Block said Chamber of Commerce members would like to see exceptions for plans that meet or exceed the number of hours provided under the legislation, exemptions for small businesses and requirements for employees to notify their employer if they’d like to take time off before the start of their shift. They’d also like to see softer language around litigation in the bill, and a provision that would allow for frontloading of time. Currently, Block said the Chamber of Commerce is educating its members about the legislation and listening to their concerns about implementation. “We’re not looking for a wholesale change,” she said. “We’re really just looking to make sure that no one is set up for failure here, and that you aren’t forcing people to have to completely rethink their HR policies if one small detail doesn’t match.” It’s urgent that the Legislature address paid sick time prior to the law going into effect in February, Block added “Decisions will have to be made about payroll systems and system upgrades, so if we wait until 2025, it will be too late,” she said. “We’re in this window between now and the end of December where we need the Legislature to act.” Block said that she hoped both sides of the aisle would come together to make necessary adjustments. “Where there’s a will there’s a way,” she said. “This is about making sure implementation works.” Rep. Jenn Hill (D-Marquette) said paid sick leave would likely affect businesses in different areas of her district in different ways. “With the paid sick leave and those things, they can be phased in,” she said. “They’re designed to be phased in, and so businesses can plan for and adapt. It’s the climate change that we can’t plan for that I’m also really worried about.” She said conversations with business owners in her district hadn’t really started yet, given that the Upper Peninsula is during its peak tourist season, but she was looking forward to having them.
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WOZNIAK WANTS HEARINGS ON MDOT WORKSITE CRASHES
MSHDA’S ROLE IS CHANGING
BUSINESSES STILL RAISING CONCERNS ABOUT ‘ADOPT AND AMEND’ FALLOUT
THE DCD MARIJUANA TEAM: YOUR COMPETITIVE EDGE!
