Representatives

Michigan lawmakers overwhelmingly approved a series of bills mandating stricter financial disclosures Wednesday, as the Senate voted 36-2 to pass a package of bills mandated by the passage of Proposal 1 in 2022.

But some in the chamber said lawmakers failed to take the opportunity to pass meaningful transparency legislation, criticizing the process in which legislators pushed through the bills that were introduced in late October despite lawmakers having the entire year to create a financial disclosure plan.

Senate Bills 613-616 create a series of new financial disclosure requirements for lawmakers, public officials and those running for office in Michigan, including the disclosure of:

Earned income, or wages and other money received from employment.Gifts and liabilities.Unearned income, or money received through unemployment benefits, annuities, stock dividends, pensions and more. This does not include gifts made by family members or inherited money.Any positions they have with outside organizations, like nonprofits.Gifts and trip payments and reimbursements, and payments that are “reported” by lobbyists and lobbyist agents.Stocks and bonds worth $1,000 or more.Their spouse’s employer and income.Agreements for future employment upon the completion of a lawmaker’s term.

There would be a maximum penalty fee of $500 for a late filing and a civil fine of up to $1,000 for knowingly filing an incomplete or inaccurate report.

The package passed 36-2, with Sens. Jonathan Lindsey, R-Coldwater, and Jim Runestad, R-White Lake, voting against it. Lindsey chided lawmakers for waiting months to introduce the legislation, which was required to be implemented by the end of the year.

“I think what we’re doing today is a disservice to the people of Michigan,” Lindsey said. Other lawmakers voted in favor of the bills but said they still did not go far enough to implement reporting requirements.

“We intentionally left loopholes the size of Texas for current and future legislators and state officials to exploit as they please,” said Sen. Ruth Johnson, R-Groveland Township.

But others in the chamber said the package marked a significant step in Michigan’s pursuit of greater ethics and transparency in its politics.

“The opportunity to bring disclosure, more transparency, and the ability for the public to hold us accountable is long overdue,” said Sen. Ed McBroom, R-Waucedah Township. “These bills today give us vital tools to do a much better job than in decades, perhaps a century.”

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There were concerns over a lack of spousal disclosures in the package — Secretary of State Jocelyn Benson raised some, previously telling lawmakers that they left “too many loopholes.” SB 613 was amended to include more spousal disclosures Wednesday, such as their employers and if they are or were a lobbyist.

In a statement Wednesday, Benson thanked lawmakers for implementing measures called for by voters but expressed hope the Legislature would continue to take action on transparency.

“I hope and expect these bills, which reflect the minimum requirements of Proposal 1, are just the beginning of meaningful disclosure policies we see proposed, debated, and enacted in our state,” she said.

While Proposal 1 does not explicitly require details about politicians’ spouses, transparency advocates say it’s important to have a full picture of a lawmaker’s household finances and ensure that lawmakers don’t transfer assets to avoid disclosure.

Michigan Attorney General Dana Nessel also previously raised concerns about spousal disclosures not being the package.

House expected to take up similar package

The Michigan House of Representatives was expected to vote on their own set of bills creating similar disclosure requirements to those approved by the Senate. The package, supported by House Democratic leadership, was voted out of committee Tuesday.

But a separate package, introduced by other members of the Democratic caucus, has also been proposed in the House. Compared to the Senate-like plan, this one subjects more candidates and officeholders to financial disclosure requirements, expands proposed reporting requirements for spouses and imposes steeper penalties for late and inaccurate filings. That package has stalled and is not expected to advance to the full House floor for a vote.

Contact Arpan Lobo: alobo@freepress.com. Follow him on X (Twitter) @arpanlobo.

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2023-11-02 00:03:22


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