Gov. Gretchen Whitmer signed an executive directive on Monday that will force Michigan to evaluate the economic impact on the state that any potential contract with the government could bring, among other considerations.
The directive, Whitmer’s 15th since taking office in January, will expand the list of factors that the state can take into account when considering any potential contract bids to include “the overall economic impact of the potential supplier’s bid on Michigan businesses and workers, the wages and benefits offered by the supplier to its workers, the supplier’s track record of labor and environmental compliance, and the supplier’s commitment to economically-disadvantaged zones.”
In a statement, Whitmer said the directive’s goal is “be a home for opportunity for everyone, which begins with supporting businesses that provide fair wages and good benefits. This executive directive will strengthen our commitment to these priorities and bring the greatest possible benefit to Michigan’s businesses, workers, and families.”
State Rep. John Chirkun (D-Roseville) applauded the move.
“When we give preference to local businesses, we are investing in the workers, their families and the communities they live in,” he said. “An investment like that goes a long way toward keeping good-paying jobs here at home and helping spur continued development and growth.”
In June, Whitmer signed an executive order that renamed and re-organized the state department responsible for managing the state’s workforce and economic development.
The governor’s office noted Monday that previously the Department of Technology, Management, and Budget (DTMB) was only able to consider “price, quality, transition costs, experience, market share, timeliness, and agreement to terms” in allowing contracts.
The directive also states that DMTB will produce an annual report on how each contract has affected the Michigan economy by the new measures.