JUNE 3, 2009

Land expresses disappointment for customers, employees

Secretary of State Terri Lynn Land today expressed disappointment for her customers and employees after the Governor's Office said it is forcing her department to close for six furlough days rather than three.

"As an elected official, I am astounded. As an administrator, I am disappointed. As a taxpayer, I am furious," Land said. "Unfortunately, it's our customers and employees who bear the brunt of the governor's decision. Good government must always be our primary concern. This makes no sense. I guess she finally blew me away."

Gov. Jennifer Granholm's recent Executive Order 2009-22 requires state agencies to reduce spending through employee furlough days before Sept. 30. The Granholm administration announced six dates to be taken as furlough days where feasible. However, Land and her team have taken a fiscally conservative approach to prepare the Department of State for Michigan's economic downturns.

"We've made tough decisions that should be emulated across state government," Land said. "Our department has invested in cost-effective technology, added services while strategically consolidating certain branch offices and held the line on filling vacant positions. By acting rather than reacting, we were able to ease the burden on employees and customers. There's no need for crisis management if you look ahead."

Thanks to Land's ongoing cost-containment measures and strategic planning, the department planned to achieve the required savings with only three furlough days.

But on Tuesday, the governor informed Land that she will force the Department of State to shut down all six days, even if it means ordering an actual shutdown of computers and lights in the Richard H. Austin Building and the department's Secondary Complex. Land's office also was told by the governor's staff that the Governor's Office will use "any tools" in its tool box to prevent the department from opening.

"Our strategy reduced the department's General Fund spending as mandated by the Executive Order and was in keeping with collective bargaining agreements," Land said. "Not only were we meeting our financial obligations, but we were doing it in a way that continued to provide services to Michigan taxpayers. That's why this heavy-handed approach is puzzling and disappointing."

Land pointed out that any likely cost savings incurred by closing for three additional days is negated by the department's need to ramp up branch office staffing levels immediately before and after to deal with increased transactions.

She added that keeping branch offices open helps the state deal with cash flow issues as the department takes in over $7 million a day in customer transactions plus interest on those collections.

"Preparing Michigan to move beyond these financial challenges demands courage, leadership and vision. The people are tired of posturing. They deserve better.

"The Department of State takes its obligation to its customers and employees seriously. We won't let this deter us from always exploring ways to deliver the most effective, efficient service possible."