Whitmer leads roundtable discussion with small business owners

On Wednesday, joined by business leaders and public officials in Detroit, Michigan Governor Gretchen Whitmer laid out her $2.1 billion proposal to grow Michigan’s middle class, support small businesses, and invest in communities by tackling several underlying issues. As Michigan’s economic jumpstart continues, Whitmer’s proposals will tackle underlying issues faced by families, communities, and small businesses and take advantage of the historic influx in federal resources to deliver meaningful change that makes a real difference in people’s lives. 

“Since day one, I have been laser-focused on putting Michiganders first and making progress on the kitchen-table issues with real, tangible solutions.” said Whitmer. “As we emerge from the once-in-a-century pandemic, we have a once-in-a-generation opportunity to use billions in federal resources to grow Michigan’s middle class, support small businesses, and invest in our communities. With the $2.1 billion in proposals I have laid out, we can raise wages, give people paths to high-skill jobs, grow start-ups, build clean energy infrastructure, and do so much more. I’m utilizing every resource and ensuring that we continue to take bold action to help families, communities and small businesses thrive. Together, we can usher in new era of prosperity for Michigan.”  

Michigan’s economic jumpstart is underway. The state had the fastest growing economy in the Midwest over the first three months of this year, a lower unemployment rate than the national average, a $3.5 billion surplus up from a projected $3 billion deficit, and two boosted credit rating outlooks. Michigan’s manufacturing industry continues to soar, leading the country in automotive manufacturing and appearing near the tops of several lists on job creation, business climate, and foreign direct investment. 

But the state faces several economic challenges too. There are too many jobs that do not pay enough, not enough workers to fill open jobs, not enough workers with the skills necessary to fill high-skill jobs, a lagging entrepreneurial sector, and a lack of affordable, attainable housing. 

“Wayne County’s communities are among the hardest hit by COVID. Too many residents and businesses have struggled, not only staying safe from the virus, but also from the economic impact of the virus. We must work together toward an equitable path forward that helps those who need it most,” said Wayne County Executive Warren C. Evans. “Wayne County has poured resources into assisting the businesses and individuals impacted by the pandemic and I’m pleased to see the state wisely investing in small business support, workforce development, and community improvement so that our residents have the resources and opportunities to safely recover from the pandemic.”  

The proposals Whitmer laid out Wednesday address these challenges under three key pillars: $722 million to grow the middle class and educate more workers, $651 million to support small businesses and create better jobs, and $800 million to build housing and invest in communities. There are several proposals under each of these three pillars.  

To grow the middle class and educate workers, the governor is calling for a $215 million expansion of Michigan Reconnect and Future for Frontliners, $70 million investment to growing the pipeline of talented workers to industry, a $100 million influx for the Going Pro credential program, and further investments in programs that offer work experience to Michiganders earning their GEDs and help those reentering society after incarceration transition into the workforce.  

To support small businesses and create better jobs, the Governor is building on her $300 million Michigan Mainstreet Initiative, which offers grants to restaurants, place-based businesses, and microenterprises with further dollars to attract more start-ups. She outlined a $200 million investment to create a more conducive business environment for high-tech, high-growth start-ups and create jobs of the future in Michigan. The governor put forward $40 million to speed up electric vehicle charging infrastructure and $100 million to prepare manufacturers and the workforce for opportunities of the future. Finally, she proposed an $11 million investment into the STEM Forward program, which places STEM students in internships in Michigan and improves talent attraction and retention. 

To invest in our communities, Whitmer expanded on her previous proposal to put $100 million towards building 2,000 units, create 1,600 jobs, and house 6,000 Michiganders. She’s proposing a further $50 million to create a healthier, cleaner, and more energy efficient homes, $100 million to rehabilitate vacant buildings, and $200 million to redevelop brownfield sites. She also proposed $100 million to build development-ready sites conducive to business investment.  

“The pandemic forced CommodiTeas to cancel our events and pop-up shops, a significant portion of our 2020 sales forecast,” said Katrina Anderson, owner of CommodiTeas in Detroit. “We pivoted operations to scale our wholesale and eCommerce accounts. Without the Resilience Grant from Michigan Women Forward, the Detroit Small Business Stabilization Fund from Techtown Detroit and New Economy Initiative, and microloans from Prosperous Detroit and Michigan Women Forward, we would have been unable to secure inventory for a partnership with Wayfair Incorporated. We also used the funds to upgrade our eCommerce platform and offer local delivery. The Michigan small-business support ecosystem helped us avoid a collapse during the pandemic; we entered 2021 with a global customer base.”

“Michigan Women Forward is appreciative of the administration’s support of women entrepreneurship programs, providing access to flexible capital and technical assistance is a catalyst for the sustainability and success of women entrepreneurs and entrepreneurs of color,” said Alexis Dishman, chief lending officer, Michigan Women Forward. “Providing a platform for the voices and perspectives of women and people of color to be heard will lead to solutions that break the barriers that women entrepreneurs and entrepreneurs of color have experienced.”

Wednesday’s economic announcement will build on Whitmer’s Michigan’s Economic Jumpstart Plan she unveiled in June. The plan would invest in working people and small businesses in Michigan by increasing incentives to boost wages and attract applicants, provide grants to small businesses to ramp up hiring, and expand access to childcare for families with young children who want to return to work but cannot.