For Immediate Release                                                      Contact: Sherry Mirasola, MHA

February 11, 2004                                                                                         (517) 323-3443

Proposal Would Protect Michigan Jobs and Improve State’s Health Status by Reducing Smoking 

            This statement is from Spencer Johnson, president of the Michigan Health & Hospital Association. Johnson comments on today’s proposal by Gov. Jennifer Granholm to increase the state’s cigarette tax to help restore critically needed funding to state health care programs, which have been cut by more than $505 million in recent years. 

            “The investment proposed by Gov. Granholm will protect thousands of Michigan health care jobs, boost federal funding to Michigan, assure quality care for thousands of children and families, and improve the state’s health status by reducing smoking, all at the same time. Last year and this year, the governor and legislature have taken positive steps to make health care the state budget priority it must be. Protecting health care protects Michigan jobs and the state’s largest employer; improves Michigan’s dubious status as a donor state that pays more federal taxes than it receives in federal benefit; and protects access to affordable care for all Michigan businesses and citizens, especially the poor, disabled and children.” 

Michigan Health Care Facts

  • Health care is Michigan’s largest employer with 466,000 jobs — 66 percent more than the auto industry. Health care is the largest source of jobs in dozens of Michigan counties and cities.
  • Michigan improves its status as a donor state by supporting health care. For every $1 Michigan spends on health care, the federal government sends Michigan $1.24.
  • In recent years, employer and employee health care costs have skyrocketed in part because state government has not paid its fair share for health care
  • Today, 1.3 million Michigan citizens — a record number due to unemployment — are eligible for health care via Medicaid, 19 percent more than in 1999. Yet since 1998, state funding for health care has been slashed more than $505 million, seriously threatening the health care safety net for millions of Michigan children and families.

 

###