By the Numbers: Public Safety Expenditures in Michigan on the Decline

“By the Numbers” is a series of short articles evaluating the finances of Michigan local governments, primarily through the use of U.S. Census reports on Local Government Revenues and Expenditures by Type of Government, and State and Local Government Revenues and Expenditures. These articles look at how Michigan compares over time to the rest of the nation.

Several articles have benchmarked changes in revenues for local governments comparing the years 2002, 2007, and 2012. Changes in revenue collections, as well as transfers from the State and Federal governments, have been evaluated for each type of local government in Michigan – municipalities, counties, townships, and school districts. Another installment looked at two distinct types of own source revenues: taxes and fees.

Later articles benchmark Michigan’s state and local expenditures on various categories of services on a per capita basis as compared to other states, using information from 1992, 1997, 2002, 2007, and 2012. Expense categories analyzed so far include payroll, administrative costs, and public safety (below).

Finally, overall results will be evaluated with a critical look at Michigan’s current system of funding local governments and the services they provide.

Public safety services are the cornerstone of most local government operations. While the state provides law enforcement services in the form of the state police, most services are provided through either county sheriff departments or local police departments. Fire services are organized almost exclusively at the local level, with many areas of the state-protected by multi-jurisdictional operations. Public safety must also take into account the cost of the judicial system and corrections. In Michigan, as is the case with most states, judicial and correctional costs and operations are predominantly controlled at the state level but have significant local government impact.

Recently, studies have been released documenting the serious decline in the number of police officers in Michigan. The U.S. Census information on state and local expenditures, support these reports. In 1992, Michigan was 16th in the nation in per capita expenditures for police protection. Given Michigan’s significant urban centers, this ranking should not be surprising due to the greater need for police services in higher density areas. By 2002, Michigan had slipped to 22nd in the nation in per capita expenditures for police services.

The impact of the Great Recession on Michigan is demonstrated in the 2012 census report in which Michigan had dropped to 38th in the nation in per capita expenditures for police protection. Across the country, police protection is primarily a service funded and operated at the local level. The information compiled by the U.S. Census documents the concerns expressed by local government officials across the state – that limited financial resources have significantly impacted some of the most important services offered to their citizens.

Fire services are also one of the most critical public services offered by local government. Unlike police protection which relies almost exclusively on full-time police officers, fire operations in Michigan cover the spectrum of operational models. While the SEMCOG region is dominated by fire departments organized at the municipal level, often with full-time firefighters, other parts of the state rely on paid-on-call firefighters, which often protect areas encompassing multiple local government jurisdictions.

In 1992, Michigan ranked 27th in the nation in per capita expenditures for fire protection services. By 2002, Michigan had fallen to 33rd in the nation and, by 2012, the state had further slipped to 35th place.

Michigan has traditionally been very concerned about the cost of corrections. The Census numbers shed light on this subject. In 1992, Michigan ranked 11th in the nation in the per capita cost of providing correctional services. While the main costs would be at the state level, the operation of county jails involving individuals who received shorter-term sentences would also be included. Michigan’s relative position remained stable at 12th in the nation in 2002 and ninth in 2007. By 2012, Michigan had seen a significant shift in its national ranking, placing 20th in the nation for the cost of corrections.

Before someone enters the correctional system they must pass through the judicial system. While all courts in Michigan are under state control, local courts are funded with significant supplemental local revenue. In 1992, Michigan was 15th in the nation in per capita judicial and legal costs. In 2002, the state was again relatively steady in its funding for this governmental service placing 14th in the nation. By 2007, the state had dropped to 23rd in the nation and by 2012, the state was 28th. Per capita costs were actually lower in 2012 than they were in 2007.

Many would consider Michigan falling from 11^th in the nation in per capita costs for corrections to 20^th, with our judicial costs sliding from 15^th in the nation to 28^th as a fiscal improvement. However, most would not take the same viewpoint of Michigan falling from 16^th in the nation to 38^th in spending for police protection.