It is anything but business as usual in Lansing But Everything is on the table

LANSING, MICH. -- On Wednesday, when the new Speaker of the Michigan House James Bolger (R-Marshall), gaveled the  96^th session of the House to order, he used his opening address to call for the elimination of the Michigan Business Tax (MBT), a 48-month cap on welfare benefits and the completion of a two-year budget by June 1. The Republican leader's remarks broke from the platitudes and vows of cooperation that have come from opening House session speeches in recent years. Republicans control the chamber 63-47. Bolger also focused his remarks on removing barriers to things that create jobs, including reforming regulations and cutting the 'red tape.'   The bottom line, according to the new Speaker, is that spending, tax and regulatory reform will dominate the 96^th Legislature.

182 Days

One a related note, the Snyder Administration is giving itself 182 days (or to July 1), days to enact a budget, change business taxes and do other reforms. The governor does not support sales taxes on services but will look at how tax incentives are used.

America's Response

With the recent publication of diplomatic emails and communications from abroad about other world leaders, The White House and State Department find themselves in a situation that a number of their counterparts have faced in the private sector ... and the response should be similar. For example, the U.S. Government should've gotten in front of the story and broken it before the media did. The government should've had advanced notice that the story would be published and should've used its social media tools to break the story, issue a statement and lay out a strategy for how it was dealing with the situation.

Now to repair its' image, the government should:

1. Admit the error and apologize.

In general, we (not just the government, but everyone) need to admit that we make mistakes, but mistakes like this, the government should say, are inexcusable and we are regret that some of these comments were made.

2. Show that you are taking corrective action.

It is important to show that you are taking steps to fix the problem and begin to repair any relationship fractured by the statements.

3. Invest in goodwill.

The United States already is invested in regions throughout the world. However, now, it needs to look at where the most damage is done and find ways of healing wounds.

4. Show the investment already being made in the region.

A lot of the damage can be undone by showing what the U.S. has already done in a particular region. By reminding others what has already been invested and accomplished, they may be more forgiving.

5. Adjust.

Unfortunately, this situation reminds each of us that we need to adopt the new way we communicate with each other and the potential for how others may share information they should not be sharing.  Our reputation can change in a 'Tweet," let alone a series of emails. Therefore, we need to be careful what we communicate and to whom, particularly those representing a government, at a local, state, federal or international level.

Now there are lessons we can learn from this experience and the best lesson here is:

"If you don't want to read about it in the paper, then don't write it down."

Emerging Market for the Great Lakes - Fresh Water Technologies

A new report by Global Water Intelligence (GWI) magazine recently issued (July 24) a report highlighting the top ten new water technologies. These technologies address some of the greatest challenges facing the water sector today. These include: Water scarcity: The world's freshwater resources are fixed, but both population and per capita consumption of water is growing. By 2025 one in three people around the world will experience either water scarcity or water stress;

Energy consumption: In some parts of the world the process of treating and moving water represents 20% of total energy consumption; Salt intrusion: Over-exploitation of our natural water resources has resulted in a build up of salt in our water systems; and,

Materials recycling: Wastewater contains materials that may be valuable if recycled, but are damaging to the environment if they are not. GWI's report has reviewed 50 existing and emerging technologies, of which the top ten are:

Aquaporins: These are membranes that replicate the way nature removes salt from water, for example in the kidneys or in mangroves. Companies developing this technology include Aquaporin, and Danfoss AquaZ.

Bio-polymers from wastewater: Bio-polymers are a great natural alternative to petro-chemical-based plastics; what is more they can be made during the biological digestion of sewage sludge. AnoxKaldnes is the leading commercial developer of this technology.

Nano-engineered membranes: Despite improvements, reverse osmosis membranes still offer disappointingly low flux rates. New developments such as nano-composite membranes and carbon nano-tubes will significantly reduce the energy required in desalination. Two firms from the University of California, NanoH2O and Porifera, are at the cutting edge of this technology.

Biogas recovery: The collection of methane from anaerobic wastewater treatment has been a reality for industrial effluents with a high biological load for some years. The challenge is to make it viable for less concentrated municipal wastewater. Leaders in this market are Paques and Biothane.

Microbial fuel cells: The next step in energy recovery from wastewater is direct electrical power generation through microbial fuel cells. Emefcy of Israel is at the forefront of commercializing this technology.

Vapour transfer irrigation: This involves low cost plastic tubes that allow water vapour through, but not water or solutes. These make it possible to grow trees and food crops using salt-water. DTi of the UK has been developing this technology.

Phosphorus recovery: Phosphorus is essential to the healthy growth of plants and animals, but it is a dwindling resource. The world's supply of phosphorus rock will be exhausted within the next 100 years, unless more is recycled from sewage. A number of companies including Unitika of Japan, DHV of the Netherlands and Ostara of Canada have been working on this technology.

Ultrasonic sludge pre-treatment: If you can break down cellular matter in sewage sludge it is easier to reclaim biogas, water and other materials. Ultrasound is a low-energy means of doing this. Hamburg Harburg University of Technology is leading research in this area.

Forward osmosis: The action of water moving through a semi-permeable membrane from a dilute solution to a concentrated solution has two interesting applications. One gives a low-energy desalination process. The other is the generation of osmotic power. Oasys, a company that has grown out of Yale University is at the forefront of using forward osmosis in desalination.

Decentralized wastewater treatment: Centralized wastewater systems are expensive to build and use a lot of water. Decentralized systems might remove the need for sewers, and make it easier to recycle the water and energy in the waste. The Lettinga Associates Foundation is one of the leading organisations promoting the practical application of decentralized wastewater.

Water is quickly becoming a scarce commodity. New technologies are being developed throughout the world to find ways to improve fresh water delivery fit for consumption. States, like Michigan, which is surrounded by the world's largest supply of fresh water could stand to benefit from this emerging market. Michigan should aggressively work to contact the above-referenced companies and encourage them to re-locate their research, labs and offices, to the Great Lakes State. (Source: PRWeb).

A little perspective about Detroit...

Over the past few weeks, I have and will have the opportunity to travel outside of Detroit. For example, last week I was in Chicago for a trade show. While in Chicago, the news that dominated the front page of the Tribune was not the indictment of former Mayor Kilpatrick, it was the trial of former Illinois Governor Rod Blagojevich, and the testimony his staffers gave under oath.  In addition, people who live in Chicago know of the alleged corruption in that city, but they ignore it because their trash gets picked up, the lights are always on and the city continues to thrive with new developments. While it does not make it right, it is what that city has built its reputation on.

Tonight, I just returned from Toronto.  While I was not there for the G-20 Summit, I did read and see pictures of the the police car burning, and heard first hand stories of friends who were not allowed to leave their buildings that were in the security zone, due to violent protests, not to mention protesters breaking the windows of a number of Starbuck's and other downtown businesses. Also in Toronto, Canadian Tourism took care of the international media while visiting Toronto. In the media centre, they created a "fake lake" to resemble the lakes of Muskoka, two hours from Toronto and the site of the G8 meetings. The "fake lake" was inside the convention center and was actually the target of stories about the costs of this Summit and the length Canada was going to promote tourism in the Country at a time that they virtually shut Canada's economic epicenter down to host a two day meeting of world leaders --  As if the Winter Olympics did not accomplish that for them, during one of the busiest tourist times for Toronto, given Canada Day on July 1.  Also, they forced the Toronto Blue Jays to relocate their home game to Philadelphia, who wore their home uniform in Philly.    A city that normally never receives bad publicity certainly felt the brunt of it in just a short weekend.

In addition, on July 1, the Canadian government will institute a combined GST/PST (tax), placing up to 13 percent taxes on professional services (law, accounting), hair cuts, gym memberships, restaurant tabs, home remodeling, new construction, subscriptions etc, which has not been handled well. This frankly, is an opportunity for us to promote shopping in Detroit to our Canadian neighbors.

After the Fourth of July, I will be travelling to Cleveland, where corruption and bribes of public officials continues to rock Cuyahoga County, where several public officials and business owners have been indicted and a number of others on the way, with the federal government targeting Cuyahoga County Auditor Frank Russo and Democratic Party Chair and Chair of the Cuyahoga County Commission Jimmy Dimore  This is the same city, that in the last year or two had major issues affecting their Port Authority, involving money or the lack thereof to fund certain projects.

Next month, I will be travelling to San Francisco, where its' current Mayor (and failed gubernatorial candidate) Gavin Newsom, had an affair with his campaign manager's wife in 2007.

So, a bit of perspective -- All eyes are not necessarily on Detroit. People are really consumed with what is going on in their city and their own backyard.  As we work hard to rebuild, repair and rebrand our image, we are not alone and we should think that everyone is concerned with Detroit, or that we have such a terrible reputation. Unfortunately, we are not the only city with the problems we have. We certainly would like the Kilpatrick era to come to a close and for the headlines to change about Detroit. To do so, we need to celebrate and honor our past, but stay focused on our strengths and move on from our failures.

Detroit, like Chicago, Cleveland, San Francisco or Hartford, where another Mayor resigned after corruption charges, should not let a political scandal or their public officials failures define their city or region. It is up to the region, to work collectively to promote itself and show first hand what they are capable of doing.

There are no doubt, lessons to learn and impart from where we have been to help create the blueprint that will guide us in moving forward.  With an election upon us in just a few months, we need to elect leaders who will not just be held accountable, we need leadership will will lead by example and will not stray from taking risks at a time of tremendous opportunity.  I look forward to working with you and with our new leaders on that journey.

Best wishes for a Happy Fourth of July.

Daniel

The Red Wings new arena can be built through a land swap

There is a city, with a Mayor, who used to be a professional basketball player. This Mayor wants to build a new arena for their basketball team....DETROIT Mayor Dave Bing, you say? NOPE! Sacramento Mayor Kevin Johnson was a point guard for the Phoenix Suns n the 1990s. He was elected Mayor in 2008 and is focused on building a new basketball arena for the Kings. According to Governing Magazine, their current arena (Arco) is the oldest and smallest arena in the NBA. Its' location is far from the city centre and its has no luxury boxes. The voters do not want to raise their tax to support a new arena, and the city, like Detroit and others, faces a large budget shortfall, with the State not in any position to help. So the Mayor thought out of the box.  With the support of City Council, he negotiated a three-way land swap with a developer to help fund the arena. The city will offer land near the current arena as a new location for the state fairgrounds. The fair's current location would be sold to a developer, with the proceeds used to fund a new arena. It it all goes well, the new arena would anchor a new development in Sacramento's downtown on a brownfield site where the railyards used to be. The new arena will be part of a mixed development that will include an intermodal transportation hub with shopping, restaurants, offices and new residential units (12,000 of them). Unfortunately, the deal is still a deal and no contracts have been signed. The fair's governing board  and the legislature would both have to agree to the plan. Hmmmm....it does sound familiar.  The Detroit Red Wings want to play in a new arena and the Detroit Pistons are for sale.  Detroit Mayor Dave Bing, like Sacramento Mayor Kevin Johnson, not only played in the NBA but he also is in the Hall of Fame.  Michigan's State Fair Grounds are in the city of Detroit (be it on the edge of the city, but we do have a train station that sits vacant, near a proposed intermodal facility that is connected to two strong neighborhoods of the City (Greektown and Southwest Detroit). While I am sure the Detroit City Council, State Fairground folks and Michigan Legislature would all have to agree, I think what they are doing in Sacramento, is a slam dunk for Detroit.

Is Montreal the new Detroit?

Last night the Montreal Canadians beat the defending Stanley Cup Champion Pittsburgh Penguins to go on to the Eastern Conference Finals. Shortly after their victory, people in Montreal began celebrating along Saint-Catherine Street by starting fires, looting stores and turning cars over. MSNBC reported today that last night's riots were not as bad as those in 2008, 1993 and 1986. With all these riots in Montreal, why do we still hear so much about the 1984 celebration following the Detroit Tigers World Series victory. Why is Detroit held up as an example of fans "rioting." It seems that there are more of these celebrations in Montreal than in Detroit.  While we each have great professional teams that frequent the Stanley Cup Finals, World Series and NBA Payoffs, it should not be a blemish on our cities to win.

While the fans in Montreal should have celebrated a bit more cautiously, both Detroit and Montreal need to be more diligent in creating a brand for their cities and a positive brand experience that people will remember.

There are so many other things to remember about our great cities, but will Montreal now become the new Detroit? Perhaps, but Detroit also may become the new Montreal.  A city known for its culture and great quality of life.  A cosmopolitan city enriched by its immigrant communities and diversity of culture.  A city where you can eat a coney island hot dog on one corner (with onions, chile and mustard), and Moussaka on the other .  A city known for its resilience, its hard work ethic and for serving as the center of innovation. There is so much to learn about Detroit, but more importantly there are so many things to experience...in celebrating victories like the one in Montreal last night, but also in experiencing our neighborhoods and our people.

Video following 2010 Victory

Video from 1993 Montreal Riots *AP Photo

Wind - It means the world to us!

[gallery] I am returning to Detroit this evening by way of Via Rail, from Toronto. I was in Toronto for an invitation only road show by Vestas Wind.  Vestas is a Danish manufacturer, seller, installer, and servicer of wind turbines. Those attending the day long event were financiers, developers, consultants, academics and government officials from Ontario. The purpose of the meeting was to talk about the potential of off shore wind in the Great Lakes, an issue I just completed a project for with South Point Wind -- an off shore wind project proposal in Lakes Erie and St. Clair.

The discussion centered on the need to create a "New Frontier" to create energy independence for Canada and the United States. Vestas has been in this industry for 30 years and installed their first off shore wind turbine in 1990. They know the industry and the opportunities the Great Lakes provide in terms of transitioning to sources of renewable energy.

However, as we have learned from current initiatives now under way on Michigan's west coast and in Ontario, to begin this process it is vital to engage key stakeholders from the start.  This includes the First Nation's in Canada and Native American's in the U.S., government officials from the local state/provincial and federal levels, industry, academics, suppliers, labor, local communities, the media and others in the process.

From the initial stages of a project such as off shore wind, it is vital that the developers of the project engage the community in a discussion of what they seek to accomplish. In fact, funding from investors or others may hinge upon their strategic communications plan.

Project organizers should understand that they will not convince everyone on the merits of their project, but they can start early, by creating the messages to convey while avoiding rumors and dispelling myths. This includes meeting with local officials to gain their input and support, editors of local papers and the other dailies. In meeting with the community at-large, it is important to make sure that you also have the people financing or backing the project, your legal team, lobbyists, consultants and the appropriate government officials available to answer questions and address concerns. In bringing "the team" together and in front of the community, developers will eliminate any question about transparency, will aptly address any concern by the community, and will go along way in developing relationships with those they intend to invest in.

The Pulse of Detroit

Yesterday, the Detroit News Hub released the results of study, entitled "Detroit Pulse," which found that nearly half of Southeast Michigan residents say they love living in the Detroit region. But most are frustrated by current conditions and believe elected officials at all levels must work together to revitalize the region, according to a recent survey.

The study took the pulse of the region from a number of different perspectives (2,030 of them) including quality of life, economics, demographics, tourism and revitalization efforts. About 11% of those interviewed love it here and wouldn’t think of moving, while 39% love it here but are discouraged with current conditions. Another 8% like it here and will do whatever they need to do to stay. However, 31% said they dislike Detroit and want to move to another region.

In fact, the report concludes that those surveyed find the three best things about living and working in Detroit are:

1. Sporting events and our teams

2. Entertainment & culture

3. Up North

The survey also found that to re-emerge, revitalization must start with the downtown.  In fact, the "top 4 venues" were listed as:

1. Comerica Park

2. The casinos

3. Fox Theater

4. Detroit Riverwalk

Those surveyed said they would come more often if there was free parking, better security and more waterfront activities.   Greektown, Hart Plaza, the Riverfront and Foxtown were the most familiar places to those surveyed.  The areas with the lowest sense of familiarity were:

1. Midtown 2. Rivertown 3. Corktown 4. Mexicantown

In addition to: The Century Club, Motown Historical Museum, MOCAD, Flimore Theater, Majestic Theater, Gem Theater, Music Hall and the D.A.C.

LEADERSHIP

The study showed that 59% of Southeast Michigan residents do not feel elected leaders are working together effectively to revitalize Detroit and the region and all levels of government need to be involved in the effort. 80% of SE Michigan residents feel the Governor should be strongly engaged in the revitalization/reimaging efforts for Detroit. As one 18-24-year-old respondent said, “Very little has changed over the years. You would think at some point elected officials would get together and say ‘we have had enough of this, let’s get something done and revitalize Detroit.’ It seems as if we are accomplishing very little.”

Among the other findings:

· Just 13% of those living outside of Michigan have heard or read about any revitalization efforts in Detroit. The majority of those living outside of Michigan said they get their information on the region from national TV.

· 91% of the residents of Southeast Michigan feel the Detroit region is portrayed negatively to extremely negatively in the national media and take exception to that portrayal and say some progress is being made.

· One-third of those responding see the region as a good or excellent place to do business as compared to only 14% outside of Michigan.

· Those living in the region see automotive and advanced automotive, film and entertainment and energy/green as the region’s best opportunities for diversification.

· The majority of SE Michigan residents and those living outside Michigan see revitalization efforts as increased jobs and new uses for vacant buildings or tearing down those structures. Increased businesses and a more vibrant downtown also ranked high.

· Neighborhoods, diversification of industry, increased entrepreneurs, more people living downtown and parks and green space were ranked higher by those living outside the state than those living inside.

· Residents living in the region who are 18-34 ranked new uses for vacant and abandoned properties as their No. 1 issue for revitalization followed by increased jobs, a more vibrant downtown, tearing down abandoned structures and increased new business.

· Those ages 35-54 put increased jobs as No. 1 while new uses for vacant buildings and tearing down vacant structures tied for second place. A more vibrant downtown was third followed by increased new business and neighborhoods.

· Those over 55 put tearing down abandoned buildings as No. 1, followed by increased jobs, new uses for vacant and abandoned homes, increased new businesses and a more vibrant downtown

· Residents in from Wayne, Oakland and Macomb had very different perspectives on what revitalization means. Wayne ranked increased jobs as No. 1; Oakland residents said it was a more vibrant downtown while Macomb residents put tearing down vacant structures first.

· Here’s what some of them said:

o “Cleaner and safer than the perception outside Michigan”

o “There are a lot more cultural activities than I expected. The only bad thing about Michigan is the weather.”

o “I expected to find fewer cultural events and attractions such as museums and expected higher crime rates.”

o “I moved here to go to school and never expected to stay but I love the people and the river and the architecture of the city are amazing."

o “Both Ann Arbor and Detroit have been better than I could have hoped. Coming from a college town in Indiana I had heard great things about Ann Arbor and expected it to be great, but downtown Detroit has been a great surprise.”

For a copy of the survey go to www.thedetroithub.com, or find a copy here: Detroit Pulse survey final

Corporate Social Responsibility -- Is it really about being green or being good?

I am not sure if you caught it, but among today's Sunday circulars, Target focused theirs on "Celebrating Earth Week & Save."  Not only did they feature green products but they also shared their report on sustainable practices by the Target Corporation.

According to a recently released study (March 29, 2010) by Penn Schoen Berland, Landor Associates, and Burson-Marsteller, more than 75 percent of consumers say that it is important for companies to be socially responsible. Target understands their consumer base. We are buying products because we are told they are good for the environment and we like to shop their because we know they care about the things we care about. For example, according to their circular, Target:

• Recycles 950 pounds of cardboard
• Donates grocery overstocks to soup kitchens and after-school programs
• Rethought their supply delivery and how they package their deliveries to minimize their carbon foot-print.

Their circular also directs you to an "Eco-Friendly" website where you are able to add your email to receive coupons by email or phone, or enter a contest. They are using the various media to engage their customer -- Although I did not see anything on their Facebook or Twitter (corporation) site talking about their sustainable practices and directing consumers to their "eco-friendly" site.

Nonetheless, they used the Sunday circular as a great opportunity to share with others how the care about the environment and what they are doing to create a more sustainable corporation and world.

As we start Earth Week, it is important to consider how we all are being good corporate citizens. Are we providing pro bono work to non-profits; even in a down economy are we working to benefit our community; and, how and are we doing anything to reduce our carbon foot print.  If we are, then it is important that you share with others what you are doing. It will not only help further the cause of initiatives you are supporting but it also will give others another reason to consider doing business with you. Using your website, Facebook, Twitter, YouTube and other media will help you share with others, your contributions to make our community a better place. Happy Earthy Week!

I walk to find a cure for Multiple Sclerosis

Twelve years ago I met my wife and ten years ago, I married her. In 2007 she was diagnosed with Multiple Sclerosis (MS). At that moment, she chose not be controled by MS, but to fight it and I immediately joined in that effort, even joining the board of the Michigan Chapter of the MS Society. While it is not something she can ignore, we have joined the movement to end MS. Every moment of every day my wife inspires me. She is not only a wonderful mom to our three children, she is truly an amazing person that serves as an inspiration to other moms and young women with MS.

Each year, the MS Society organizes a number of walks throughout the country to raise money and awareness. This year, we are walking in Detroit on May 8. I hope you will join my team, MIND OVER MS and walk with us. If you cannot join us, I encourage you to support our efforts to find a cure to MS. I know there are a number of worthwhile causes to support -- this one affects me and my wife and my children and I ask for your support. In advance, THANK YOU for your support. To join us or make a contribution, click here or here.

Your support will make a difference in the lives of people with MS. I truly appreciate your support and look forward to walking and fundraising with you!  If you would like more information about the National Multiple Sclerosis Society, how proceeds from the Walk MS are used, or the other ways you can get involved in the fight against MS, please visit The National MS Society.

Thank you!

Daniel

Stand up and get counted

Earlier this week, I completed and mailed in the U.S. Census form on behalf of my family. Despite the issues some may have with the form, it was brief and just took my under ten minutes to complete. While filling out the form may be easy, the importance of during it in cannot be made clear enough. Federal resources will be allocated as a result of the form, lines will be drawn for Congress and other information will be extracted that can help guide our country for the next decade, if not longer.

Last month, the Michigan Association of Society Executives (the assosication for association executives), published an article I wrote in their Monthly Publication.  Here is a copy of the article.

Stand up and get counted

Every 10 years the United States Government sets out to track the nation’s population. The 2010 Census questionnaires will arrive in mailboxes across the country by mid-March, followed by U.S. Census takers going door-to-door to make sure the questionnaires are answered and not ignored.

According to the U.S. Census, “Census information affects the numbers of seats your state occupies in the U.S. House of Representatives. And people from many walks of life use census data to advocate for causes, rescue disaster victims, prevent diseases, research markets, locate pools of skilled workers and more.”  Gaining an accurate count also helps the federal government determine where to allocate funding each year on projects such as infrastructure and services for: hospitals, job training centers, schools, senior centers and the like.

In December 2009, the U.S. Census released preliminary numbers related to the U.S. population and it does not look good for Michigan. The only three states to lose population from July 2008 to July 2009 were Michigan, Maine and Rhode Island. Wyoming showed the largest percentage of growth, followed by Utah, Texas and Colorado.  This means that Michigan will loose a Congressional seat and our clout in Washington. We also will lose federal funding to states such as those that gained population.

Despite our loss, associations should seize this opportunity to take stock of the past 10 years and start planning for next decade.  Associations should take this time and count its members, send out their own “association census” and start going door-to-door and engage members in a discussion about your association.  For example,

• Why did you join our association?
• What benefits do you take advantage of the most? the least?
• Are you involved in a committee? If so, which one and why?
• Do you attend our events? If so, why?
• What services are we not providing you that you would like us to look into?
• What do we do well?
• What can we do better?
• Are we communicating enough with you?
• If not, how would you like to be communicated with?
• How is our CEO doing?

Well, you get the idea!

The MSAE also can and should get involved. From an association perspective, it can help you help your members count and be counted. It can form a partnership with local Census efforts to help get the word out on why the Census is important and what it means for associations. In addition, the MSAE can help the legislature with its redistricting efforts and help take the politics out of the process by beginning the discussion now on what Michigan should look like and how we should work collaboratively to see our state succeed.

While we have lots to think about as the questioners come to our mailboxes, we also have lots to do -- As association executives, associations and individuals yet to be counted. With Michigan’s anticipated population loss to continue, we will have to work harder to create an environment to attract people back to Michigan, including changing the way people think about our state and the opportunities within it.

As leaders within your own associations and industries, it is your opportunity to take leadership and ownership over Michigan’s future.  With the anticipated population loss, you will need to work harder developing relationships with Members of Congress and their staff, with the different federal agencies and with others whose support we will need to grow. Within the state, we will need your leadership and guidance to help build consensus through controversy and agreement within division. With a new governor and new legislature, it will take leadership to build bridges between disparate interests, organizations and individuals. Finally, within your own association, you will have to work harder to deliver value to your members and continue to be thought leaders and a resource to the community.

The MSAE and your individual association can be that bridge and the voice of reason and calm as politics continues to trump public policy. Now is the time for the MSAE and your association to step to the forefront of tackling emerging concerns with vigor, set the framework for progressive action and create the tone for how we govern ourselves and how we conduct our business in the State of Michigan for the next ten years. So stand up and be counted, our future depends on it.

Daniel Cherrin is the former Communications Director/Press Secretary for the City of Detroit and to Detroit Mayor Kenneth V. Cockrel Jr. He is now President of North Coast Strategies, which provides cutting edge practical advice where government action or inaction, litigation vulnerability or complex regulatory requirements will impact your reputation and bottom-line.  He also in an attorney, lobbyist, public relations professional and a certified-mediator.

State of the City, Fate of the Nation

On the day that President Barack Obama signs national health care into law, forever changing how Americans receive health care, Detroit Mayor Dave Bing, delivers his first State of the City Address. The health care debate has polarized a nation as Democrats and Republicans disagreed over what our nation's health care should look like. The City of Detroit and Southeastern Michigan also remain divided. It is up to Mayor Bing to build that bridge that cannot only change the culture within the City of Detroit, but to unify a region to help us all move forward. I helped draft the last State of the City, delivered by then Detroit Mayor Ken Cockrel. In it, I tried to help heal the wounds of the past that we continue to live as yesterdays controversies remain today's news, while providing a road map for putting the past behind us in order to help us move forward.

In moving forward, it is important to focus on our strengths.  Manufacturing and trade have always been the center of Detroit’s economy.  From furs to steam engines, pharmaceuticals and cars, Detroit has long been the center of commerce -- Yet, Detroit has always been a fractured city. In fact, the reason why the world’s eyes are on Detroit today is because our region sets the mood for the world’s economy and the tone for how companies conduct their business in the future.

The world is watching us and we will not let them down.  Today’s economic environment and the new political change that has swept this region, provides us with the hope and opportunity that while we remain true to our manufacturing core, there are opportunities for us to seize and build upon -- This includes the surplus of people who are brilliant with their minds and their hands, such as engineers, line-workers and artists.  In addition to our access to our nation's critical infrastructure, such as plants that just need retooling or upgrades, access to the largest fresh water system on the planet, and access to major airports, rail and freeways.

To unify our region and to help Michigan move forward it will take leadership. In recent years, our business, political and community leaders have worked in a vacuum.  There are so many people and organizations that have the plans to make positive changes in this region - But no one is working together. It is time to work together and create one strategic plan that we can all work off of. One plan with one set of messages and one master "to do" list of what we need to, to move forward.

Despite these difficult times and differing agendas, we are not without a road map to how we should move forward.  Years ago, the French landed on the banks of our city and started to trade fur. Our port quickly became the center of commerce. Our city evolved and quickly became the path for freedom with the Underground Railroad, the Arsenal of Democracy and the Music of Motown. From the moment Cadillac stepped on our shores, the world’s eyes have always been on Detroit.

In 1890 Detroit had 205,876 people living in the city, double from the previous decade. In 1893 our Nation faced economic hardships with the Great Panic of 1893 and our city officials were faced with grand jury investigations into fraudulent contracting and bribery charges connected with various public works projects with a constant stream of indictments against certain alderman. It was the Great Panic of 1893 that basically shuttered Detroit’s industry, which at the time were steam engines.  Hazen Pingree was Mayor at the time that went on to become Governor, but it was Mayor Pingree who was elected on a platform of exposing and ending corruption in the city.  As Mayor Pingree expanded the public welfare programs, initiated public works for the unemployed, built new schools, parks, and public baths. He gained national recognition through his "potato patch plan," a systematic use of vacant city land for gardens which would produce food for the city's poor.

In 1900 our populations grew to 285,704, in 1910 we numbered 465,766 and in 1920 we passed the million mark. From its very beginning, Detroit has been a manufacturing town.  Although industries have come and gone, we have been tied to manufacturing from sawmills, iron furnaces and copper smelting to steel and cars.  For years Detroit was at the center of the railway car industry, which paved the way for the automobile. Pharmaceuticals and stoves.  As the business leaders of Detroit today it is now our turn to shape Detroit’s future once again.

We are all in this together

We fail as a region when we fail to work together.  For example, although Oakland County and the city of Detroit are separate governments, Oakland County’s bond rating is directly tied to Detroit, so we all have a stake in seeing each other succeed.  And so we need to invest in each other.

As our local governments see declining revenue from the state, we must support each other and work with them to create public private partnerships and otherwise help identify alternative sources of revenue that will help maintain a certain quality of life. Our region will become a more business friendly region, if business and government work closer together.

Other cities have been down this road before, including San Diego, Miami, New Orleans and others. And each has reemerged stronger. Perhaps a bit leaner but also much stronger, and more efficient. That is what we are working towards.

Collaboration

Given the state of our economy, we need to throw out the playbook and chart new course for leveraging our region’s assets to create new industry, invest in our existing business and creative ways to foster a new generation of entrepreneurs and business. This also may mean that it also is an opportunity to let go of some of our organization, in order to enhance the connectivity between region – pool resources, work together to build and market a regional economy.

We are in a competitive struggle and as businesses continue to fail, the stakes could not be higher. We need to step out of our box as a community and do so as one community.

This year will again be a year of tremendous challenge. Our city and our region will continue to face scrutiny and blame. But the scandals are behind us.  That was Detroit then.  And this is Detroit now.  A city still challenged.  Challenged to help its brothers and sisters in the automotive industry. A city challenged by a struggling economy and a city focused on helping its people find hope and opportunity.  We as a city are challenged to provide the basic city services that we all expect.

In a city like Detroit there will always be room for improvement. No matter what our future holds, we are ready to face the next challenge and the next opportunity. There is no doubt, however, that the year ahead of us will be one of challenge perhaps even continued uncertainty. And we as a city should be preparing for whatever may come our way.

In 1805 Detroit burned to the ground and Father Gabriel Richard, then pastor of Ste. Anne’s uttered what would become our city’s motto, “We hope for better things; it shall arise again from the ashes” Today, our city again faces a challenge, but with your help, we have the opportunity to rebuild.  Just as Judge Augustus Woodward help rebuild our city then, we have an opportunity to do it now.

From the Paris of the Midwest, the City of Churches and Trees, the Motor City, Detroit Rock City, Motown, Hockeytown and the City of Champions. Detroit is our town and it is time to reclaim it as our town. It is time to regroup, rebuild and re-brand this city as a new city and shining example of seizing a challenge and turning it into an opportunity.

Michigan's Role in the Blue Economy

A number of Israeli companies are looking toward Michigan to set up shop and look at ways of using Michigan's Great Lakes for their economic gain and our environmental survival. Michigan is located on America's North Coast, but it is really the world's "Fresh Water Coast." Endleman, a large independent PR agency, recently published a report on water. In the report, they state that the World Resources Institute is working with investors to develop meaningful disclosure around corporate water use and behaviour. In fact, some are pushing for companies to put on labels, how many gallons of water it takes to make a product.

With water becoming more scarce, Michigan has a real opportunity to capitalize on our position in the Great Lakes. We can work to attract an entice companies to Michigan to research and develop new technologies around water. We also can work to stay focused on our strengths -- manufacturing and work to help re-locate companies to Michigan who rely on water in their manufacturing process.

As stewards of the Great Lakes, the State of Michigan should lead the way in creating regulations for how manufacturers can use and re-use water from the Great Lakes for manufacturing. Then create the framework to attract manufacturers from all over the world, who rely on water in the manufacturing process to come to the Great Lakes. The key issue, in my opinion, is how can companies use and re-use the water in the Great Lakes. [gallery]

Who's watching what is posted on social media sites?

Another case to watch is one emerging from (Turin) Italy that involves four Google executives who are charged with defamation and violating the privacy of an autistic youth by allowing a (2006) video of the child being abused to be posted on YouTube. This case is being closely watched by the public relations community as it has far-reaching implications for sharing video and other content on the Internet. The defendants are: chief legal officer David Drummond, former chief financial officer George Reyes, senior product marketing manager Arvind Desikan and global privacy counsel Peter Fleischer. All have denied any personal or professional wrongdoing. When the video sparked outrage, Google removed it. The company cooperated with Italian authorities and police found the youths, who were sentenced to community service.

The issue is: Who polices peer-to-peer video sites? Some rely on the users to flag inappropriate content. But once the video is out there, what is the responsibility of the company? What responsibility does the user have to avoid posting clearly offensive junk? Stay tuned to YouTube for its conclusion.

Is it political? Managing Legislative Disputes

Conflict among lawmakers and regulators is inevitable. The issues that come before the legislature and other government bodies can have the potential to divide a community. As a result, policy makers tend to avoid controversial issues or postpone crucial decisions hoping to avoid conflict. At the same time, key constituencies work to weigh in and share their views, meet with lawmakers, send emails or call them directly, hoping to help the lawmakers reach a consensus. However, carefully structured dialogues, mediated or facilitated by skilled third-party neutrals could offer a more effective and durable method to resolve conflicts and build consensus around controversial and often complex public policy issues. As the Detroit City Charter Commission evaluates the existing Charter, it is recommended that they create a process by which to resolve disputes, at the Council Table, between citizens and with the business community. I will present to the Charter Commission a recommendation on what that policy can be and look forward to working with them in assisting in the creation of a public policy dispute resolution process. A full copy of the report can be downloaded at www.northcoaststrategies.com.

Audacity to Win

During this holiday break, I read "Audacity to Win" by President Obama's Campaign Manager David Plouffe. Whether you are a Blue Dog or Gingrich Republican, I recommend this book to any public relations professional (I saw it today for half-off at Barnes and Noble). Not only is it a well documented history of the 2008 Campaign, with insider views and frank discussions about what actually went on behind the scenes, but it is a blue print for how we, as PR professionals, can create memorable campaigns for our clients. Plouffe and then-candidate Barack Obama did not just run a campaign, they created a movement. They did not follow the typical guidebook that comes with running for President, they set their own rules. They built a grassroots movement by talking to people and taking there message person-to-person, block-by-block, town-by-town. They started a dialogue, absorbed their ideas, developed a message and shared it. People wanted to do something for Barack Obama and the Obama Campaign had plenty for them to do. You could volunteer in a campaign office, go to a battleground state, raise money online, or join the discussion on-line.

The volunteers came because they were interested. That interest turned into action, then to passion. And throughout their involvement, not matter at what level, they felt a part of that movement -- Making President Obama's victory, was their victory.

Following the election, the President kept and continues to keep that movement alive, through Organizing for America (OFA), now run through the Democratic National Committee (DNC).

In the book, Plouffe tells us that "in politics your two main pillars are message and electoral strategy." The message is what the candidate offers voters in terms of vision, issues and biography. Plouffe tells us that you can adjust the tactics, but never deviate from your core message and strategy -- Have one slogan, and stick to it. Make decisions based on strategy and have a clear road map to know what is important, and commit to that map.

Plouffe also tells us that technology should also be the core of the campaign from day one. Use social media to raise money, move the message and organize. Create lists and sublists to keep key groups in the loop and a part of the campaign.

Important lessons for how we can help our clients create movements. A good book, a great read and important lessons for us all to know.

Today's Legal Market Demands Broad Business Solutions

*Story Originally Posted in the American Bar Association's Law Trends and News, Fall 2009, Vol. 6, No. 1. Today’s legal market demands a broad range of business solutions lawyers can provide their clients. A strategic communications plan can prove to be an extremely helpful tool law firms can provide their clients. For example, in today’s 24/7 media culture, companies lack access to and control over the media who cover their industry and to the people that talk about them online.

In addition, businesses often find themselves navigating a complex environment that requires dealing simultaneously with litigation, governmental and regulatory actions, media scrutiny, and public perception. Oftentimes business strategy demands a multidisciplinary approach of legal action, public relations, and government relations. Knowing where these issues converge can help protect your reputation and enhance your position in the marketplace. For example, new court rules were recently unveiled in Michigan directing jurors not to Twitter about the case before them or to turn to the Internet for information beyond that which was presented to them in the court. Social media is becoming more than a tool for us to use to stay in touch with friends: it is becoming a new area to look out for our clients' interests and/or a new medium to promote our practice.

Also, in just seven months, Congress has passed a number of key bills that have been enacted by the president, including the economic stimulus package, expansion of SCHIP, Pentagon acquisition reforms, and other key reforms. Congress is in the midst of tackling a number of difficult issues, including energy and climate legislation, health care reform, FY 2010 appropriations, the reauthorization of the transportation bill, financial regulation, food safety, and immigration reform—all of which will affect our legal practice.

As a result, attorneys should extend their services beyond the courtroom and into the court of public opinion or legislature. If attorneys will not provide such services, then they should build strategic partnerships with public relations firms and/or lobbyists. To meet the needs of today’s businesses, lawyers will need skilled advice regarding how to position their clients before the media or in front of the legislature, while legally protecting their clients.

For example, seeking PR counsel is an important aspect of representing clients in high-profile cases. Even if the issue is a small matter, there is no way we can tell how public opinion can or will shape the outcome of a case. Therefore, in engaging PR counsel:

Have the lawyer retain the PR firm as opposed to your client directly, to try to preserve attorney-client privilege;

The PR counsel should consult with the client only in the presence of an attorney and first talk things over with the attorney to seek their support and buy-in for the PR strategy.

Once a PR firm is engaged, they will (depending on the strategy):

Asses the situation, review any media to date;

Create key messages;

Create talking points for key audiences including, staff, vendors, clients, and the media;

Using the key messages, educate and sensitize the media to mitigate damage or control the story;

Facilitate interviews; and

Diligently work to preserve and protect your client’s image in the public eye.

“An attorney’s duties do not begin inside the courtroom door. He or she cannot ignore the practical implications of a legal proceeding for the client.” SeeGentile v. State Bar of Nevada (Kennedy opinion) 510 U.S. 1030, 1043 (1991). Just as an attorney may recommend a plea bargain or civil settlement to avoid the adverse consequences of a possible loss after trial, so too an attorney may take reasonable steps to defend a client’s reputation in the court of public opinion

In today’s fast-paced environment, where it may take years to build up one’s reputation and only seconds to destroy it, a lawyer’s role as advocate extends to managing his or her clients’ reputations inside and out of the courtroom.

Daniel Cherrin, an attorney, is the former communications director/press secretary for Detroit and to Detroit Mayor Kenneth V. Cockrel Jr. He is now president of North Coast Strategies, which provides cutting-edge practical advice where government action or inaction, litigation vulnerability, or complex regulatory requirements will impact your reputation and bottom line. You can reach Cherrin at dcherrin@NorthCoastStrategies.com or 313-300-0932.

Creating Jobs, Investing in Transit, Roads and other Infrastructure

Each year, the federal government allocates a significant portion of the overall Federal Budget to expenditures that have a direct impact on the states. This includes monies to support programs such as Medicare, food stamps, unemployment compensation, transportation and infrastructure, Medicaid support, job training and education amongst others. According to the (Michigan) State Fiscal Agency, “Michigan’s share of Federal expenditures has lagged behind the amount of most other states.” (See State Fiscal Report, May/June 2009). The report finds that “Michigan’s total per-capita expenditures ranked 45th among the states and 41st among the states in grants to state and local governments.” Id. This means that Michigan is receiving less than its fair share of Federal expenditures

In terms of transit/transportation dollars, Michigan taxpayers lose about $100 million a year in federal transit aid because the state and its major cities have failed to plan for and invest in world-class bus and train service. In fact, 34 counties in Michigan with little public transit service.

Given the current economic climate in Lansing, there are a number of opportunities for Michigan businesses, organizations and institutions to secure support from Congress and the federal government. For example: States are hoping that a new jobs bill outlined by the President will include money for infrastructure projects.

Despite the possibility of having these funds available, Michigan may be ineligible for $475 million in federal highway money next year because it can’t find $84 million in matching state funds. This means that the state may lose out on nearly have a billion dollars in federal highway money in 2010 and even m ore through 2014.

Despite Michigan's potential shortfall, there is time to advocate for change in Congress and find the resources to fund shovel-ready projects, to help create jobs, boost our state's infrastructure and jump-start our ailing economy.

While Congress chose to delay reauthorizing the Transportation Equity Act, they are allowing authorities and road commission’s time to shape the debate and the outcome of the legislation, including positioning such entities to secure federal funding through the reauthorization. With a lack of funding coming from the state, now is the perfect opportunity to turn to Washington for federal support and seek modifications to exist laws and regulations that would prevent Michigan from capturing additional federal support.

For example, the current surface transportation law, the Safe, Affordable, Flexible, Efficient Transportation Equity Act (SAFETEA-LU, P.L. 109-53), was adopted in 2005 and expired on September 30, 2009. To give you some idea of how political this bill was -- When Congress finally passed the last transportation bill in 2005, it took two years and 12 extensions to complete it.

At stake is the dwindling Highway Trust Fund, financed by a federal gas tax that pays for repairs to the nation’s crumbling infrastructure. At issue is an effort by Congress and the President to set the nation’s transportation policy for the rest of the decade and perhaps for decades to come. The outcome will be critical to state and local governments that depend on federal assistance to maintain and improve their transportation systems.

The end game will be the creation of a funding mechanism that will ensure the national transportation system will meet the demands of an expanding population while also accommodating the environmental priorities of those who want to see less road congestion, less accidents and more transit options.

For transportation planning organizations it could mean a modern, sustainable and seamless surface transportation network, that fully integrates and connects the nation’s small urban and rural regions with global, metropolitan and neighboring markets. It could also mean increased federal investments in existing and new rural public transportation system, with an emphasis on establishing stronger incentives and program flexibility across the spectrum.

While we will wait almost a year before Congress will most likely pass a transportation bill, Congress continues to debate issues of transit and transportation and will soon debate a “jobs” bill that will contain federal funding for local infrastructure projects. For example, the U.S. House of Representatives passed the “American Clean Energy and Security Act” (H.R. 2454) in June, and the Senate is still debating their bill. Both bills contain provisions affecting transit, transportation, infrastructure projects and jobs.

Although Congress will not pass a transportation bill until next year, there are still opportunities for transit agencies and organizations to secure resources for a variety of projects through existing bills, and help shape funding for future projects by taking a proactive role in advising Congress on what is important to your agency and community. We need advocates in Washington to support projects in the State of Michigan. We need effective leadership to create a collaborative group of like-minded agencies to support what is necessary to bring the requisite resources to re-build Michigan and create opportunities for us to get back to work.

Therefore, if you have certain projects that need to be funded or policy related issues that can benefit your program, it is important that you meet with your planning organizations; MDOT, the Governor and your Congressional Delegation to ensure their priorities are your priorities. Then it is important to work with your chambers and other community organizations to build a solid base of support for your projects. Despite a full agenda, Congress needs to hear from you and what you need to provide valuable resources to your community. With limited funds from the state and dwindling budgets all around, it seems that Congress is our only option.

When the states can’t pay for schools, Just ask Congress!

With funding diminishing from the State of Michigan for schools, opportunities exist in Washington to secure federal funding. For example, the following school districts received federal funds in FY 2009: School District of Lancaster (PA) and Philadelphia School District each received $100,000 Project IMPACT, for abstinence education and related services.

Troy High School (PA) received $247,000 for removal and/or replacement of non historic windows, infill, louvers, windows, and fan lights.

The Logan Elm School District (OH) received $48,000 for water infrastructure improvements.

The Hesperia Unified School District, Hesperia, CA, received $98,000 for an after school program for middle school students.

The Independence School District (MO) received $347,000 for before- and after-school programs.

The Washoe County School District (NV), received $248,000 for an online assessment and accountability instructional programs and an additional $248,000 for an English Instructional program.

The Springfield School District (IL) received $94,000 for a middle school history experience.

The City School District of New Rochelle (NY) received $422,000 for after school and summer school programs, faculty professional development, and parent education workshops.

These are just some examples of how schools benefited from Congressional appropriations and governmental advocacy in securing additional funds for their schools. With limited funding from the state and a declining tax base, the federal government has some funds to support Michigan’s schools.

However, to obtain funding from Congress, the local school districts need to request the funding. At times, it is not enough to ask your local member of Congress. It is important to build support for your issues and requests, meet with Congressional staff, invite your member to experience schools and perhaps even make it an educational experience for the students by involving them in the legislative process.

What's Next For Congress?

Members of Congress are planning on working through the Thanksgiving holiday in an effort to try to wrap up a number of outstanding issues, including health care and climate change legislation. However, it seems that these issues will be carried over into the next session and will remain relevant going into 2010 and the mid-term elections. Here is a look into some of the issues Congress will keep their eye in 2010: HEALTH CARE REFORM -- Despite passage in the House, the Senate is working diligently to find a compromise. Expect this issue to continue on into February before anything is resolved.

CAP-AND-TRADE -- Again, despite passage in the House, the Senate is finding difficulty in addressing a number of issues in this bill, including pressure from manufacturing states and the potential impact on jobs.

FINANCIAL REFORM -- Banks and other financial firms are already gearing up for a the debate on financial reform. Although this issue remains a priority, it took a back seat during the health care and climate change debate, but is starting to gain traction in committee.

TAXES -- A number of tax relief measures passed in 2001 and 2003 are set to expire by the end of 2010. Expect this issue to become a polarizing issue as members of Congress prepare for the election season.

IMMIGRATION -- Another priority of the administration, this issue will have the potential to be another political issue.

STIMULUS II -- Communities are still struggling despite the influx of funds from the federal government. In an election year, Members of Congress may look to bring more immediate relief to their districts.

TRANSPORTATION -- Congress punted on addressing the expired and Transportation Equity Act for an additional 18 months. However, Congress will still hear testimony on reforming or nation's aging infrastructure and how to address its shortcomings.

FEDERAL FUNDING -- With a lack of funding from state governments, going to local governments, social service agencies and other organizations, people will be looking to Congress for financial support.

Regardless of the issues Congress considers in the coming months, it will no doubt be political as their think about their election.