News Story

U-M President Pushes Conservation While Taxpayers Pay Up To $30K A Year In Energy Costs For Her Residence

An analysis of the size and costs of presidential houses for Michigan universities

University of Michigan President Mary Sue Coleman has said her college needs to be a global leader when dealing with energy sustainability.

Yet, Coleman's own university provided residence has the most expensive energy costs among state universities, both in total costs and cost per square feet, with a gas-electric-steam bill reaching nearly $30,000 in one year.

When receiving a grant for "sustainablity fellows" from Dow Chemical last year to help people "live cleaner, greener and sustainably," Coleman said: "[This partnership] is broad and comprehensive as sustainablity itself, and frankly, I believe it is the only way to solve problems as pervasive as the ones that we are facing in protecting our natural world."

But Coleman’s own electricity, gas and steam bill has varied from $19,448 to $29,807 between 2010-12. That bill was $22,591 in 2012, or $1.61 per square foot. DTE estimates its average residential electrical and gas rates are $2,160 a year.

University of Michigan Spokesman Rick Fitzgerald said Coleman's house is far from average. It is 14,000 square feet and is the oldest building on campus. It was built in 1837. Fitzgerald said the president's house is registered as a historic house, which complicates any improvements that could be made to it. U-M is saving $5 million a year throughout campus on energy conservation, Fitzgerald said.

"Those savings really add up as opposed to focus on the president's home," Fitzgerald said. "There is only so much you can do on a house that is that old."

The Mackinac Center for Public Policy put in a Freedom of Information Act request for the utility expenditures for the president's houses for each of the state universities. Northern Michigan University's president's house is 8,173 square feet. Its gas and electrical bill was $3,502 in 2011, or 43 cents per square foot. Oakland University had the second-most expensive energy bill, with a $14,242 annual gas and electric bill in 2011, or $1.13 per square foot.

Making direct comparisons of state university presidential residences is not simple. Some state college president houses share their energy with other buildings, making it difficult to estimate the costs for one building. In other instances, the president's house isn't even used by the president as a residence.

For example, Michigan State University's annual electric and gas bill for what used to be the president's house is $12,340 for a 16,876 square foot home. However, MSU President Lou Anna Simon lives in her own house and no housing allowance is provided by the university, said Ellen Armentrout, the school's FOIA officer.

Leon Drolet, chairman of the Michigan Taxpayers Alliance, said he prefers a setup like MSU's.

"The bigger question is, 'Why should the students and the taxpayers have to provide these university presidents with lavish mansions?' " Drolet said. "The folks are paid very large salaries and should be able to provide pretty nice homes."

Besides the $585,872 annual salary Coleman earns from the University of Michigan, Forbes reported that in 2011 Coleman got an additional $195,000 in total compensation from Meredith Corp., and $239,972 in total compensation from Johnson & Johnson for serving on those boards.

"They could sell it and not use that as a living/working mansion and reduce costs," Drolet said. "She moves out of the house and buys a house like everyone else."

~~~~~

College Square
Footage
Energy Costs
(average last
three years)
University of Michigan 14,000 $23,949
Oakland University 12,587 $14,508
Western Michigan University 6,316 $9,177
Eastern Michigan University 10,000 $8,911
Lake Superior State University 7,027 $4,814
Northern Michigan University 8,173 $4,742
Central Michigan University 6,440 $4,621
Michigan State University Do not pay for president’s house
Wayne State University Do not pay for president’s house
Michigan Technological University Do not pay for president’s house
Ferris State University Did not respond to FOIA request
Grand Valley State University Did not respond to FOIA request
Saginaw Valley State University Did not respond to FOIA request

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

News Story

Union Money Behind Health Care Ballot Proposal Not Well Hidden

Use of a dummy corporation will keep official disclosure 'secret' until next year

On the surface, it appears that a corporation that was formed just days before a signature petition drive was started to create a ballot proposal that would lock a forced unionization of home health care workers into the state constitution, is the major player behind the ballot proposal.

But one doesn't have to dig too deep to figure out that it is almost certainly the Service Employees International Union that is behind the company promoting the "Keep Home Care Safe" initiative.

"Citizens for Affordable Quality Home Health Care" is the name of the campaign committee for the proposal. According to records filed with the secretary of state, 97 percent of the campaign's money ($1.84 million) has come from a corporation, Home Care First Inc.

SEIU Healthcare Michigan, an SEIU affiliate, is the most likely source of the campaign dollars, although other affiliates of SEIU likely are contributing as well. Under this set-up the unions won't have to disclose what they've spent on the ballot proposal campaign until next year because of campaign finance rules.

The SEIU has a vested interest in this proposed ballot initiative because it is the union behind the scheme that unionized home health care workers in Michigan and has taken more $31 million from those workers since 2005.

More than half of SEIU Healthcare Michigan's finances now come from the union dues taken out of the Medicaid checks sent to Michigan residents (mostly relatives and friends) who participate in the Home Help Program.

The federal Home Help Program was created years ago so elderly and disabled people can receive care at home instead of having to live in nursing homes.

Supporters of the ballot initiative have repeatedly said passing the ballot proposal would create the Home Help Program. In doing so, the campaign apparently hopes most voters won't realize this program has existed for years and will continue regardless of what happens in the election.

At the center of the campaign is Dohn Hoyle, treasurer and co-chairman of the “Keep Home Care Safe” ballot proposal. Hoyle also is executive director of The Arc Michigan, an agency that helps people who have developmental disabilities, and he is a member of the Michigan Quality Community Care Council (MQC3) board, which is the dummy employer the SEIU used in the establishment and operation of the unionization scheme. Under Hoyle's direction, the Arc donated $50,000 to the MQC3 this past spring.

Hoyle also is the head of Home Care First.

Hoyle did not respond to requests for comment or to answer questions about the Home Help Program, the SEIU's participation or his role with Home Care First.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.