Forget for a moment that the Republican Pledge to America announced yesterday is utter nonsense if you try to make the math work.
Economist Paul Krugman writes that the GOP pledge to end the Bush tax cuts would create an additional $3.7 trillion in debt over the next decade, a problem that could only be addressed by privatizing Social Security and Medicare. So maybe — likely? — that’s the real Republican agenda lurking behind the Pledge. Ending Social Security has long been a Republican dream.
But let’s set that aside for the time being and just look at what happens locally in recession-battered Michigan if voters put Republicans in control of Congress this November and they make good on their pledge to immediately end Recovery Act spending.
The result: major new factories being built in Holland, Midland and Livonia with Recovery Act money would be put into immediate danger. Those plants are expected to employ 4,600 Michigan workers over the next two years while hundreds of construction workers are already on the job.
In addition, there would be millions of dollars lost that putting people to work on road projects, in schools and in communities across the state. But these are the biggies that could be on the chopping block next year:
Battery Manufacturing and Electric Drive Component Grants - Livonia, Michigan - $249 million
A123 is using its $249 million Recovery Act award to build battery factories in Livonia, Romulus, and Brownstown, Michigan. The factories will help America become a leader in battery manufacturing technology while also providing a critical link in the supply chain for other clean energy technologies and products. The company, which received its award on December 3, 2009, has already reported the creation of 90 new jobs, and expects to hire over 3,000 people by 2012. A123 has signed contracts with Navistar and Fisker, and is actively working with several well-known carmakers. The company plans to ship the first battery from its high-volume production line in Livonia this September.
Keeping Clean Energy Jobs of the Future in America - Holland, Michigan - $299 million
Johnson Controls won a $299 million grant to build a battery manufacturing facility in Holland, Michigan. Johnson Controls is matching the investment dollar-for-dollar, and will be creating new high-tech jobs in the automotive industry. The project is already bringing jobs to Holland - Johnson Controls has created or saved at least 100 jobs so far, and expects to create 500 permanent positions when the project is complete. Before the Recovery Act grant, Johnson Controls had considered Asian locations for its first high-volume advanced lithium-ion battery factory. The Recovery Act allowed the company to build in Holland, hire local construction and manufacturing workers, and help create a domestic advanced battery industry. Johnson Controls has already signed contracts with Ford and Azure dynamics, and plans to ship its first battery in September of 2010, only ten months after receiving their grant.
American Batteries for America’s New Electric Vehicles -Holland, Michigan- $151 million
Compact Power, Inc. received a grant of over $150 million from the Department of Energy to build a battery cell manufacturing factory in Holland, Michigan. The factory will produce battery cells for the Chevy Volt, amongst other vehicles. According to Compact, approximately 70 construction jobs have been created or saved and they are on-track to hire 300 workers at the peak of construction. In addition, by 2013, Compact estimates 300 workers will be permanently employed at the facility.
Manufacturing Batteries to Power 60,000 vehicles - Midland, Michigan - $161 million
In June, Dow Kokam broke ground on a brand new advanced, large-format battery production facility in Midland, Michigan. According to Dow Kokam, they have already supported more than 100 construction jobs, a figure which is expected to rise to 1,000 at the peak of construction. Dow Kokam estimates that the 800,000 square-foot facility will permanently employ nearly 800 workers when complete, and will be able to produce enough affordable lithium-ion batteries to power 60,000 vehicles per year. Dow Kokam and its project partners are matching the grant dollar for dollar.
