News & Events Digest: May 2024

Administration and Fiscal Agencies Reach Consensus on Revenue Estimates; Revenue Projections and Economy Strong and Stable

State Treasurer Rachael Eubanks, Senate Fiscal Agency Director Kathryn Summers and House Fiscal Agency Director Mary Ann Cleary on May 17 reached consensus on revised economic and revenue figures for the remainder of Fiscal Year (FY) 2024 and for the upcoming 2025 and 2026 fiscal years.

“The May Consensus Revenue Estimating Conference enables us to lock-in our revenue picture after the individual income tax season,” State Treasurer Rachael Eubanks said. “Today’s consensus is that Michigan has a strong and stable revenue and economic foundation for finalizing the state budget. Our economy is adding jobs and bringing more people back to work, marking a strong recovery in labor participation. This is great news now and for our future.”

Detailed tables with the revenue projections are available on Treasury's website.

These revenue estimates are based on the most recent economic projections and forecasting models. As with any economic and revenue forecast, there are potential risks to the estimates agreed to today, including unexpected changes in the national economy and international economic issues.

“Michigan’s economy is strong and stable,” said State Budget Director Jen Flood. “I look forward to working with our partners in the legislature to finalize a budget that builds on our historic investments in kids, grows our economy, and lowers costs for families and small businesses.”

FY 2024 spans from Oct. 1, 2023, to Sept. 30, 2024, while FY 2025 spans from Oct. 1, 2024, to Sept. 30, 2025. FY 2026 begins on Oct. 1, 2025.

The May Consensus Revenue Estimating Conference’s detailed forecast – as well as presentations from today’s session – can be found at Michigan.gov/CREC.

Michigan Organ Donor Registry sees major growth thanks to Check Your Heart Act

Thanks to the Check Your Heart Act, the Michigan Organ Donor Registry has 12,475 new registrants. This increased volume resulted in year-over-year growth for the Donor Registry for the first time since 2021, with 73,357 new registrations taking place between January and April 2024.

“The Check Your Heart Act did exactly what we had hoped it would do,” said Dorrie Dils, President and CEO, Gift of Life Michigan. “It helped us provide an easy and unique way for residents to document their decision to save lives, and ultimately grow the Donor Registry. We are so grateful for the support of our friends at the Michigan Department of Treasury who helped make this a reality.”

Gov. Gretchen Whitmer signed the Check Your Heart Act into law in July 2023, making Michigan the first in the nation to allow residents to sign up as organ, eye and tissue donors on their state income tax forms. The bill was sponsored by representatives Felicia Brabec of Pittsfield Township, Cynthia Neely of Flint and Natalie Price of Berkley.

“Michiganders have long been able to join the registry when renewing their drivers’ licenses,” said State Treasurer Rachael Eubanks. “This year, we became the first in the nation to allow people to register when filing their individual income taxes. The new process is easy, secure and leverages the tax forms that people file each year. We hope this is just the beginning and other states follow Michigan’s lead.”

Prior to the Check Your Heart Act, the Donor Registry was growing at a significantly slower pace than in previous years. This is due to a variety of factors, including less in-person visits to the Secretary of State where 95 percent of new sign-ups take place. As of today, 17 percent of new sign-ups can be attributed to the tax form question.

Thanks to the tax forms, over 171,000 residents checked the box to join the Donor Registry, for many reaffirming their decision to save lives. Currently, more than 4.5 million Michigan residents are on the Donor Registry. About 2,500 Michigan residents are waiting for a life-saving organ. The best way to save lives is by joining the Donor Registry.  To register or learn more about the donation process, visit giftoflifemichigan.org.

My Career at MI Treasury: JON BRAEUTIGAM

Chief Investment Officer Jon Braeutigam is the deputy treasurer over the Bureau of Investments (BOI), overseeing a team of 75 people, most of them investment, accounting or compliance professionals. Jon and his team are in charge of investing for Michigan’s eight different retirement systems, including the two largest: the Michigan Public School Employees Retirement System and the State Employees Retirement System. In addition, this incredibly agile group stays on top of the market to invest in the ‘pots of money’ the state sets aside in permanent trust funds — broadly diversifying the funds into many different types of stocks, bonds and private equity investments. Here’s how Jon’s Treasury career began…

My Career Path

I’m a double Spartan. I was in supply chain management at Michigan State University and went straight into a master’s in finance. During that time, I became a student intern for the state of Michigan which transitioned into a job offer. I accepted and by 1990 I was working with a pension fund. It was a great match and what I really liked to do.

People think of investors as ‘numbers’ people, but accountants are numbers people, too, and the two groups usually have very different personalities. Investors are “I know the numbers, now I want to project what’s going to happen in the future”, where I think accountants are more “I know the numbers, and I want to put them in the right place”. Both functions are really, really important and they provide necessary balance.

I started as an investment analyst and then went on to be an investment specialist. I became head of real estate in 1997 (today, that role is now referred to as a senior investment management position). Ten years later, I became chief investment officer. Jackie Johnson was the former CIO, and she was transitioning out and tagging me in on different meetings. I ultimately got the job and started in 2008 and have been doing it ever since.

Read more about Jon Braeutigam on Treasury's Medium website.

SAVE THE DATE: Fostering Futures Scholarship Trust Fund Pizza Party

The annual Fostering Futures Scholarship Trust Fund Pizza Party on the Capitol Lawn is scheduled from 11 a.m. to 2 p.m. on Tuesday, June 18. 

A $10 donation will get you pizza, dessert and a drink. The event will be filled with live entertainment, speakers, resource tables and raffle prizes. 

All money raised will go directly to the Fostering Futures Scholarship Trust Fund.

To help estimate the amount of pizza needed, please pre-register to attend the event. Registration information can be found on the Pizza Party on the Capitol Lawn webpage. 

This year, the Treasury Black History Committee returns to partner with the Fostering Futures Scholarship with a celebration in honor of Juneteenth.

"The Pillow Effect," a Michigan Youth Opportunities Initiative (MYOI) program, will accept donations of new standard pillows and pillowcases (or cash donations to purchase items) for distribution to youth entering foster care.

Since 2012, Fostering Futures Scholarship fundraising efforts have totaled more than $1.3 million. 

If you are unable to attend this year's event please consider making a donation. Your donation, big or small, will make a difference.

Your Estate Plan BASICS with MI Money Matters

Estate Planning is NOT just for wealthy individuals with many assets and multiple properties!

An estate plan is for everyone who cares about their children, has specific wishes about their own end of life medical care, or has property of any size to pass on to family members or other beneficiaries.

With a few simple steps you can protect yourself and the people you love, while leaving clear directions for your heirs.

VIDEO: Your Estate Plan Basics with MI Money Matters

Partnering with the National Association of State Treasurers (NAST) and Enrich’s software platform, Michigan Treasury created MI Money Matters to equip Michiganders with the information they need to reach their individual financial goals.

MI Money Matters is a personal finance education program that provides each user with their own ‘action plan’ based on a financial behavior assessment that analyzes each user’s financial “personality.” Individuals who participate gain personal money management insight plus access to interactive tools that can assist them with saving, smart borrowing, and loan repayment.

For more information on what MI Money Matters offers to Michiganders from teens to retirement, go to www.michigan.gov/mimoneymatters.