4A - Thursday, January 21, 2010 The Michigan Daily - michigandaily.com E-MAIL CHRIS AT CSKOSLOW@UMICH.EDU tic tgan at y Edited and managed by students at the University of Michigan since 1890. 420 Maynard St. Ann Arbor, MI 48109 tothedaily@umich.edu CHRIS KOSLOWSKI | You know my rooa na, c e jusn changes oat in te DdCale sahre YehCa rlisa gdgy.and infs...awkward. 0 t! The re4al'real cost of raises' JACOB SMILOVITZ EDITOR IN CHIEF RACHEL VAN GILDER EDITORIAL PAGE EDITOR MATT AARONSON MANAGING EDITOR Unsigned editorials reflect the official position of the Daily's editorial board. All other signed articles and illustrations represent solely the views of their authors. Bringin' down the house State should ensure that federal funds help communities With little cash to fund projects that will enable Mich- igan's economic recovery, the state has received a helping hand from the federal government. Michigan was recently granted $223.9 million in federal stimulus funds, designated for allocation to the development and restructuring of housing facilities in struggling communities across the state. During this particularly stressful time for the housing market, Michigan needs support for recovery initiatives. But though the potential of this project is encouraging, it must place its primary focus on the people most in need of housing. To utilize the funds most effectively, the state must focus on the creation of more affordable housing options for Michigan residents. n a recent editorial, the Daily requested that University fac- ulty and staff accept wage and salary freezes in order to curb tuition increases and improve under- graduate edu- cation (The real cost of pay raises, 01/07/2010).- With all due respect, Daily editorial board, . you can pry my 3.4-percentyraise PATRICK from my cold, dead O'MAHEN hands. And you can expect the same attitude from all the custodians, food service employees, librarians, lectur- ers and landscapers if you want them to hand back their hard fought wage gains. Fine, so that's overdramatic, but the editorial's naivet hbothered me on several levels: First, it asserted that salaries played a major role in the spiraling tuition costs. Then, citing a Decem- ber University report, the editorial board lauded the leadership roles of 19 senior administrators who are vol- untarily forgoing merit pay increases this year. They then implored other employees to follow the example of our selfless leadership. Butin their hurry to swallow a Uni- versity press release that highlighted deans and administrators refusing merit raises, the intrepid researchers on the editorial board forgot to, well, do some research. If they'd actually bothered to do some simple digging in the Faculty and Staff Salary record - which the Daily ironically provides access to on its website - staffers would have uncovered a larger pattern of gener- ous salary increases for major uni- versity administrators that easily outstripped other employee compen- sation increases over the last decade. Let's start at the top. In 1997, then- University President Lee Bollinger earned $275,000 in base salary. In 2008, current President Mary Sue Coleman earned $553,500. That's a total raise of 101.3 percent. During that same time frame, the provost's salary has increased from $230,000 to $366,000, an increase of 59 per- cent. Finally, the LSA dean's base pay has increased by 88.4 percent, from $207,000 to $390,000. In contrast, GSI salaries increased roughly 40 percent from 1997-2008. Other unionized employees had simi- lar or smaller raises during that time, as did most non-onionized staff, though exact numbers are more diffi- cult to calculate in those cases. During that same time period, in- state tuition rose 93.3 percent. Do you notice how top administrative sal- ary increases tended to be a lot closer to the tuition increase than other employee's salaries? And these num- bers don't include goodies like deferred compensation, housing, car allowances and the like, which pushed Coleman's total compensation package to nearly $760,196 last year, according to the Daily. Finally, notice how the three positions I cite draw all their compen- sation from tuition and state funding. I haven't even mentioned the 47-percent raise the new athletic director will get this year. In addition, over the last year bene- fit cuts have affected most employees, who have little choice in the matter. All non-unionized and some union- ized employees have been forced to increase their contribution to their health insurance premiums. I sup- pose the Daily could be forgiven for not praising their sacrifices, because a bunch of librarians, custodians and IT people don't contribute to under- graduate education, right? That is, they don't matter unless you care about finding materials for a research paper, having your dorm bathroom kept clean and keeping your wireless network working. Administrators have also increased their health care contributions as well, but paying 30 percent of the roughly $7,200 annual family health care premium hits a custodian earn- ing around $29,000 a year much harder than it hits LSA Dean Terrence McDonald's $390,000 salary. (For the record, McDonald got a $63,000 raise in 2008, while some custodian got well under $1,000) GSI pay raises don't affect tuition increases. The limited data of the salary his- tory shows that retaining individu- als generally doesn't seem to cost as much as hiring new ones - especially outside candidates. For example, Coleman's salaries since her hiring have generally tended to increase in three to four percent increments - from $475,000 in her first year to $484,000 to $501,000, $516,000, $531,000 and finally $553,500. The big jump came in the year of Bol- linger's departure and Coleman's arrival, in which the president's sal- ary jumped by at least 30 percent. A similar story pertains to the pro- vost's position. In 2007 and 2008, University Provost Teresa Sullivan earned healthy but hardly notewor- thy raises of 3.5 and 3.9 percent. In contrast, the first year that she took the position, the provost's base pay jumped 16.4 percent. I can't wait to see what the new provost's salary package looks like. If it's a raise simi- lar to what Sullivan had, the new sal- ary could move to nearly $450,000. When the Daily reports on the new provost and relays the usual breath- less administrative banalities about what a magnificent hire she or he is, maybe then the editorial board will remember to ask for some leadership on the salary front. Perhaps, then it' might sound a bit less tone deaf than it did two weeks ago. - Patrick O'Mahen can be reached at pomahen@umich.edu. At a press conference last week, federal Housing Secretary Shaun Donovan, along with Gov. Jennifer Granholm, announced that the state will receive $223.9 million from the U.S. Department of Housing and Urban Development. The Michigan State Housing Development Authority origi- nally applied for $290 million for the pro- gram, but was only granted a portion of its request. The money the state received will be put towards the "New Michigan Urban Neighborhood Plan," a project that intends to rebuild an estimated 1,500 foreclosed and vacant homes and demolish 2,500 more across the state. Detroit will receive the largest bulk of the funds at $40.8 mil- lion, but the initiative has also directed sig- nificant funds to several other communities including Lansing, Kalamazoo and Flint. On top of the economic advantages of the "New Michigan Urban Neighborhood Plan," it's a bonus that the project won't place another tax burden on already-strug- gling Michigan residents because the proj- ect is funded by the federal stimulus plan. It's only logical that the Housing Develop- ment Authority applied for the cash. There would have been no excuse for missing out on free federal funds for a state that des- perately needs to give its economy - and its people - a boost. The "New Michigan Urban Neighborhood Plan" has the potential to play an impor- tant role in rebuilding Michigan's stagnant economy. The blighted properties lower the property values of a community and discourage the recovery of the struggling housing market. The "New Michigan Urban Neighborhood Plan" will demolish vacant and foreclosed properties in areas particu- larly affected by the recession and build new homes in their place. The revitalization of these neighborhoods will create a more attractive community that will improve the housing market in these areas. But the residents of distressed areas like Detroit and Flint need more than attrac- tive new homes. Individuals who have been hit hardest by Michigan's especially dismal economic downturn have equally pressing needs. The federal money should address the most pressing needs of the state - and families struggling to make ends meet are in desperate need of affordable housing. When the Michigan State Housing Devel- opment begins to build these new and improved facilities, it must make construct- ing affordable housing that accommodates low-income residents a top priority. The "New Michigan Urban Neighbor- hood Plan" offers a change to encourage the state's economy and the revival of decay- ing communities. But the true value of this programgoes far beyond the economy. The creation of more affordable housing is nec- essary to help people and families in need. WANT TO BE AN OPINION CARTOONIST? E-MAIL RACHEL VAN GILDER AT RACHELVG@UMICH.EDU Where is all the optimism? COLLEGE DEMOCRATS| AlookbackatObama'sfirstyear 0 When President Barack Obama took office one year ago on Jan. 20, 2009, our nation was in the depth of the worst economic crisis since the Great Depression and burdened with two costly, directionless wars. From his first day in office, Obama has made these challenges his top prior- ity. He has focused on returning our economy to its former vitality, bringing the wars in Iraq and Afghanistan to successful conclusions and reforming the health care system. Obama has also signed laws to strengthen civil rights pro- tections and worked to regain respect for the United States from other countries. As his first major legislative initiative, Obama persuaded Congress to pass the Ameri- can Recovery and Reinvestment Act, which renewed government investment in infrastruc- ture, science and education, while saving the jobs of thousands of Americans. In addition, he successfully managed the Troubled Assets Relief Program, which garnered a $4 billion profit (a 15-percent return on investment) for U.S. taxpayers. The program helped preventthe collapse of the American financial sector and thaw frozen credit markets. Obama also recognizes the necessity of a strong industrial sector to the vitality of the middle class and to the strength of the Ameri- can economy. He encouraged federal involve- ment to help General Motors Corp. and Chrysler through bankruptcies and to set the companies on track to return to a competitive position in the global marketplace. Following this restruc- turing, the Democrats passed "Cash for Clunk- ers," a popular and successful program that provided a much-needed boost to domestic auto sales while helping to reduce carbon emissions from American automobiles. Also on the domestic front, Obama signed the Lilly Ledbetter Fair Pay Act of 2009, which strengthens the 1964 Civil Rights Act, giv- ing victims of employment discrimination an increased ability to recover damages. This law aims to protect employees from discrimina- tion on the basis of sex, race, color, religion or national origin. In addition to strengthening employment discrimination laws, Congress passed the Mat- thew Shephard Act of 2009, which extends federal hate crimes protections to LGBT Americans. The bill was named for a Univer- sity of Wyoming student who was tortured and killed in 1998 because of his sexual orientation. Republicans in Congress have long opposed extending hate crimes protections to cover LGBT Americans, but Obama signed the bill into law in October. Obama continues to champion health insur- ance reform and has made more progress on the issue than any president in history. Although the legislation has yet to be finalized, it should decidedly improve competition in the health insurance market, reduce costs of cover- age and expand access to care. It will prohibit health insurance providers from discriminat- ing against people due to pre-existing condi- tions and bar them from dropping patients that get sick. This reform will benefit students by requiring health insurance providers to cover individuals under their parents' plans until age 26. Despite lacking a filibuster-proof major- ity in the Senate after Tuesday's special elec- tion for the Massachusetts Senate seat, health insurance reform will likely pass Congress in the coming weeks. Overseas, Obama has faced the difficult tasks of rebuilding our diplomatic alliances, imple- menting a new strategy in Afghanistan, man- aging operations in Iraq and fighting terrorism. Today, the U.S. is once again making diplomacy a central component of its foreign policy and has rebuilt alliances around the globe. Obama was awarded the Nobel Peace Prize for his efforts to promote peace and diplomacy. Obama has proven his commitment to fight- ing terrorism by emphasizing the war against al-Qaeda and the Taliban in Afghanistan. In his first month in office, Obama ordered an increase in troop presence there and has placed American forces on the offensive against ter- rorist leaders. In addition, he has worked with General Stanley McChrystal to employ new strategies that recognize the unique nature of the war in Afghanistan. In Iraq, Obama has continued to implement the Status of Forces Agreement that American commanders negotiated with the Iraqi Govern- ment, which should end the presence of Ameri- can forces in Iraq by the end of 2011. Obama has also reclaimed the moral high ground in the War on Terrorism. He has ended the use of torture and is implementing plans to close the prison at Guantanamo Bay. He has begun the process of prosecuting accused terror- ists held in American custody. Obama's anti-ter- rorism policies have improved America's moral standing, revitalized its international respect and kept America safer from terrorist attack. There is no simple solution to our nation's problems, but Obama's first year is an example of the determination and hard work that has made our nation great. His efforts are far from complete - our country certainly has more challenges ahead than behind - but Obama has made remarkable strides in addressing issues of critical importance. This viewpoint was written by Robert Bowen and Josh LeVasseur on behalf of the University's chapter of the College Democrats. This week, as political pundits analyze President Barack Obama's first year in office ad infinitum, I'm trying to remem- ber the optimism that surrounded his inaugura- tion just one year ago. I recall fan- tasizing about an overwhelmingly Democratic Con- X gress passing bill T upon bill, legislat- MATTHEW ing progress and GREEN reversing eight years of conserva- tive damage. Well, my dreams haven't exactly come true ... yet. And I won't take the time to once more enumerate all of the terrific things that the Democrats have not yet done. But I'm a little ner- vous that in the upcoming midterm election, congressional Democrats won't be given a chance to continue fighting for all the reforms impor- tant to liberal America. In the last election, Democrats were afforded a unique opportunity. The Left, gal- vanized by its hatred of George W. Bush, came out like never before in support of Obama and congressional Democrats. Moderates also voted largely Democratic because they, too, found regime change appealing. But this year, during the midterm election, Democrats won't have the advantage of being on the better side of public anger. And insofar as it may seem that Democrats have the upper hand at the moment, liberals won't vote with the intensity of a resolute underdog. Republicans, however, probably will. They are outraged by Obama, pissed at Speaker of the House Nancy Pelosi (D-Calif.) and for a variety of reasons, they just gen- erally vote more passionately than liberals. By nature of their usual defer- ence to status quo, conservatives generally feel a much greater sense of urgency than liberals do when it comes to social change. On abortion, for instance, liberals speak abstract- ly about a woman's right to choose, where conservatives view the matter as one between life and death. Ergo, those on the Right are naturally more inclined to spring to action, when lib- erals tend to be much more passive. This phenomenon accounts for why abortion is still a hot-button issue, even though a 2006 Gallup poll found that roughly 80 percent of the coun- try believes it should be legal at least under certain conditions. Yet liberals have reasons to be fer- vent, too. Perhaps even more than in 2008, the Left has a lot at stake. First, Democrats need to maintain their congressional majority to ensure that meaningfulhealth reform is achieved. Even if the current Congress works out some legislation, reform will likely require more intricate con- sideration in the years following the passage of an initial bill. Additionally, in order to guarantee that economic recovery is carefully managed, Con- gress can't revert to the economic deregulation that led to the enormous financial irresponsibility that ruined the economy in the first place. And all of that is set against a social backdrop in which much progress - matters of income inequality, immigration, labor reform, gay rights, etc. - has yet to be set into motion. With so much left to be accom- plished, the Democrats must work overtime to avoid a repeat of the 1994 midterm election, when public frus- tration with the Democrats in power led to a major Republican fakeover of Congress. And their work is cut out for them. This year, as tried-and-true Democratic Senators Byron Dorgan of North Dakota and Chris Dodd of Connecticut both retire, the Demo- crats will have considerable difficulty replacing them - even though Dodd was expected to lose if he did run for a sixth term. Ten Democrats in the House aren't seeking re-election and the party is losing certain key gover- nors to term limits this year. After one year, Democrats have lost their zeal. It is, perhaps, a slight silver lining that Republicans are losing even more incumbents: fourteen in the House and six in the Senate. But given the increased public frustration with the current Democratic Congress, paired with the fact that most of these seats are in solidly conservative districts, the replacement of these legislators should be rather easy for the GOP. The bottom line is that Democrats could easily lose more than they gain this year if liberal leadership can't maintain an energized base. Hope- fully the economic measures they have just put in place will lead to a stronger economy in the summertime before the election, increasing their public support. But they cannot rely solely on that. Democrats cannot rest on the lau- rels of their victories in the past two elections. They must find a way to get leftward-leaning Americans behind their message strongly enough that they will actually come out and vote. And if Democrats don't succeed in bringing the debate back to core issues that matter to liberals, they'll regret it when their significant congressional majority slips away from them. - Matthew Green can be reached at greenmat@umich.edu. EDITORIAL BOARD MEMBERS: Nina Amilineni, William Butler, Nicholas Clift, Michelle DeWitt, Brian Flaherty, Jeremy Levy,Erika Mayer, Edward McPhee, Emily Orley, Harsha Panduranga, Alex Schiff, Asa Smith, Brittany Smith, Radhika Upadhyaya, Laura Veith