Reviewing Michigan's progress and setting goals for the economy and employment will be the topics of Gov. Jennifer Granholm's third State of the State address, which she will deliver tonight.
Granholm spokeswoman Liz Boyd said in her speech, the governor will outline plans to improve the economic climate, increase job growth and diversify the economy.
Granholm also is expected to discuss a proposal to eliminate the $2,500 payment students receive for doing well on the Michigan Education Assessment Program test, and replace it with a grant of $4,000 for students who complete two years of college. The MEAP test will be replaced by the Michigan Merit Exam in 2007.
Boyd said students graduating after 2007 will be eligible for the new award and must take the Michigan Merit Exam, as well as complete 40 hours of community service and apply for federal financial aid.
Michael Boulus, executive director of the Presidents Council, State Universities of Michigan, said studies show students are more likely to drop out of college in the first two years, and he is happy to see Granholm wants to invest in higher education.
"This is an incentive to get more students into junior status," Boulus said.
Boulus said he also is glad the governor will address the issue of higher education and the impact it can have on the economy.
"We have had three years of $250 million in losses, hopefully we can reverse that trend and re-invest in higher education," Boulus said.
MSU's Director of the Office of Financial Aid Rick Shipman said he's happy the money will increase, but is unsure of the impact it will have for students who can't afford to start their first two years of college
"More money is always better than less, so that sounds like a good thing," Shipman said. "I'm not sure then how people would pay for their tuition and living cost, if they can't pay for the first two years."
Granholm will deliver her State of the State amidst a Republican-controlled House and Senate, a budget shortfall of $350 million for this fiscal year and one of the highest unemployment rates in the country - 7.3 percent. She is up for re-election in 2006.
Doug Roberts, director of MSU's Institute for Public Policy and Social Research, said the speech can set a tone for how the rest of the year will go for Granholm.
"It's important when you put the speech in the context that there's an election coming up in 2006," Roberts said.
Sen. Nancy Cassis, R-Novi, and Rep. Jack Hoogendyk, R-Kalamazoo, already have announced that they plan to challenge Granholm for the job.
Bill Ballenger, editor and publisher of Inside Michigan Politics, a Lansing-based political newsletter, said Granholm can use the speech to portray a positive public image of herself. He also said Granholm can show she can get things accomplished, especially if the Republican-controlled Legislature has other plans.
"The key thing is to project a forward-looking vision and message," Ballenger said, adding that the bigger issue is whether Granholm can accomplish her goals. He said the speech is important, but Granholm's budget could reveal more.
"It's not even what she says, it's what she delivers in her budget on Thursday," Ballenger said.
