2002 election In the 2002 election, incumbent Republican governor
John Engler was term-limited and not able to run for re-election to a fourth term in office. The Republicans unified around Engler's
lieutenant governor,
Dick Posthumus. Meanwhile, Granholm faced a competitive primary against former
U.S. Ambassador to Canada and governor
James Blanchard and U.S. Representative and former
House Minority Whip David E. Bonior. Blanchard had been defeated for reelection by Engler in 1990 and Bonior had resigned as Democratic whip to run for governor, his House district having been redrawn to make it all but unwinnable for him. Granholm, seen by many as a "fresh face" after the 12-year Engler administration, raised more money than Blanchard and Bonior and consistently led them in polls by large margins. Her campaign led to increased turnout among women and she comfortably won the Democratic primary with 499,129 votes (47.69%) to Bonior's 292,958 (27.99%) and Blanchard's 254,586 (24.32%). Granholm was the heavy favorite in the general election, boasting strong support from working women, African-Americans and voters under 30 years of age. She campaigned on her record on crime and was seen as more charismatic than Posthumus.
First term (2003–2007) Haley Barbour,
Kansas Governor Kathleen Sebelius,
U.S. Secretary of State Condoleezza Rice, Granholm and
Georgia Governor Sonny Perdue (). Granholm was sworn in as the 47th governor of the state of Michigan on January 1, 2003. Upon her inauguration, in addition to becoming the state's first female governor, she also became its third governor who was not a
natural-born citizen of the United States and its fourth who was not born within the United States. The earlier two non-natural-born citizens were
Fred M. Warner, who was born in England and was the 26th governor from 1905 to 1911; and
John Swainson, who was also born in Canada and was the 42nd governor from 1961 to 1963.
George W. Romney, who was born in Mexico and was the 27th governor from 1963 to 1969, was a natural-born citizen by virtue of his parents' U.S. citizenship at the time of his birth. Granholm emphasized Michigan's need to attract young people and businesses via the
Cool Cities Initiative. As governor, she was a member of the
National Governors Association, chairing its Health and Human Services Committee and co‑chairing its Health Care Task Force. She is also a former chair of the
Midwestern Governors Association. She lived in the official
Michigan Governor's Residence, located near the Capitol Building. During Granholm's first year in office, she made a significant number of budget cuts to deal with a $1.7 billion deficit (about two percent of the annual state budget). She was upset by proposals to cut state funding to social welfare programs, such as
homeless shelters and
mental health agencies. Granholm has been a proponent of
education reform since the first year of her term. In her first State of the State Address in 2003, Granholm announced Project Great Start to focus on reforming education for children from birth to age five. Project Great Start has coordinated public and private efforts to encourage educating new parents and encouraging parents to read to their children. Granholm emphasized post-secondary education for Michiganders following the decline in Michigan manufacturing jobs, many of which did not require a college degree. In 2004 she asked Lieutenant Governor
John D. Cherry to lead the Commission on Higher Education and Economic Growth to double the number of college graduates in Michigan. Many of the commission's recommendations were enacted into law during Granholm's tenure as governor, e.g. increasing high school graduation standards (The Michigan Merit Curriculum) so that every Michigan high school student takes a college preparatory curriculum, which includes four years of math and English/language arts and three years of science and social studies, beginning with students who entered high school in the fall of 2006. At an awards ceremony on October 28, 2004, Granholm was inducted into the "
Michigan Women's Hall of Fame". She has also been the recipient of the Michigan
Jaycees 1999 "Outstanding Young Michiganders" and the
YWCA "Woman of the Year" awards. During the
2004 presidential election in Michigan, Granholm campaigned hard for Democratic nominee
John Kerry after early polls showed President
George W. Bush with a narrow lead. She cited the economy as the main concern for Michiganders, not the
Iraq War or the
war on terror, which meant that with "the deficit larger; the Dow dropping; unemployment claims up, hitting an all-time high; General Motors profits below expectations, with health claims crippling profits; flu vaccine in short supply; oil prices rising" her state was badly hit. In February 2005, Michigan's Republican-dominated legislature refused to vote on Granholm's proposed state budget, citing concerns over cuts to state funding for higher education. In the previous years of Granholm's term, many cuts to higher education had been demanded and voted in the legislature in order to balance the state budget. The year before, Republican leaders had called Granholm a "do‑nothing governor", claiming that she failed to lead, while Democrats accused legislative Republicans of being obstructionist. In January 2005, Granholm presented an early budget proposal, demanded immediate response from the Legislature, and held a press conference outlining the highlights of the proposed budget. After refusing to consider, debate, or vote on the proposed budget, Republicans stated they would prefer that the legislature have more involvement in the formation of the state budget. Michigan's economy had been losing jobs since 2000, largely owing to the decline in the American manufacturing sector. Granholm supported diversification of Michigan's economy away from its historical reliance on automotive manufacturing. She pushed through a $2 billion
21st Century Jobs Fund to attract jobs to Michigan in the life sciences, alternative energy, advanced manufacturing, and homeland security sectors.
2006 election Granholm ran for a second term in the
2006 election. Her opponent was
Republican businessman and politician
Dick DeVos. Both the Granholm campaign and the
Michigan Democratic Party put out television commercials produced by
Joe Slade White focusing on her efforts to revive Michigan's economy and accusing DeVos of cutting Michigan jobs while he was head of
Amway. Granholm won re-election, defeating DeVos. The election results were 56% for Granholm, 42% for DeVos, and a little over one percent for minor-party candidates
Gregory Creswell,
Douglas Campbell, and
Bhagwan Dashairya.
Second term (2007–2011) The
2006 elections saw a return to power by the Democrats in the
State House of Representatives and the retention of Republican control over the
State Senate. The partisan division of power in Michigan's state government led to a showdown between Granholm and lawmakers over the
FY 2008 state budget that resulted in a four-hour shutdown of nonessential state services in the early morning of October 1, 2007, until a budget was passed and signed. The budget cut services, froze state spending in areas such as the arts, increased the state income tax, and created a new set of service taxes on a variety of businesses, e.g. ski lifts and
interior design and
landscaping companies, to address a state budget shortfall. As a result of the controversial budget, some taxpayer and business advocates called for a recall campaign against Granholm and lawmakers who voted for the tax increases. The budget crisis eventually led
Standard & Poor's to downgrade Michigan's
credit rating from AA to AA−. Additionally, the crisis contributed to sinking approval ratings for Granholm, which went from 43 percent in August 2007 to a low of 32 percent in December 2007. She had one of the lowest approval ratings for any governor in the United States. In 2007 Granholm proposed and signed into law the No Worker Left Behind Act to provide two years of free training or
community college for unemployed and displaced workers. Since its launch in August 2007, more than 130,000 people have enrolled in retraining. The program caps tuition assistance at $5000 per year for two years, or $10,000 per person, and covers retraining in high-demand occupations and emerging industries. The Department of Energy, Labor, and Economic Growth reported back in October 2009 that 62,206 people had enrolled and that of the 34,355 who had completed training, 72% had found work or retained their positions and a further 18,000 were still in long-term or short-term training. 16% of all enrollees had withdrawn or failed to complete the training. Through passing a
renewable portfolio standard, which would require that ten percent of Michigan's energy would come from renewable sources by 2015 and twenty-five percent by 2025, Granholm expected the alternative energy industry to emerge in Michigan. Since the passage of the standard, Mariah Power, Global Wind Systems, Cascade Swift Turbine, Great Lakes Turbine, and 38 other companies have announced new projects in Michigan. The solar and wind power industries now provide more than ten thousand jobs in Michigan. Granholm also called in the speech for an incentive package to offer tax breaks to filmmakers who shoot in Michigan and use local crews in production. A package of bills offering film industry incentives was approved by both houses of the
Michigan legislature and signed into law by Granholm on April 7, 2008. 's
presidential campaign during the second day of the
2008 Democratic National Convention in
Denver, Colorado. Partly because of pressure from Granholm,
Michigan's Democratic presidential primary was moved up to January 15, leading the
Democratic National Committee to strip the
Michigan Democratic Party of its delegates (Michigan historically had held its
caucuses on February 9). Granholm has been named by some as a possible candidate for
United States attorney general. She was the policy chair of the
Democratic Governors Association. On April 29, 2008, Granholm had emergency surgery to correct a health issue that stemmed from a 1993 accident. Because of the surgery, Granholm had to postpone a trip to
Israel and
Kuwait. She finally made the journey in November 2008 and signed a
water technology partnership agreement with the Israeli government. In addition, she delivered the keynote address at an automotive event organized by the
Michigan Israel Business Bridge and the
Israel Export Institute. In response to a May 14, 2008 resolution by the
Detroit City Council that Granholm remove Detroit Mayor
Kwame Kilpatrick from office because of eight and later ten
felony counts against him, Granholm began an inquiry that culminated in a removal hearing on September 3, 2008. On September 3, Granholm outlined the legal basis for the hearings, arguments were made, and three witnesses were called. On the morning of September 4, Kilpatrick agreed to two plea deals in which he pleaded guilty to two counts of perjury and
no contest one count of assaulting and obstructing a police officer in two separate cases. Both deals required his resignation. When the hearing reconvened later that day, Granholm said the hearing would be adjourned until September 22 as a result of the plea deals, and if Kilpatrick's resignation became effective before then the hearing would be cancelled. In September 2008, Governor Granholm undertook the role of
Republican vice presidential nominee
Sarah Palin in a series of practice debates with
Democratic vice presidential nominee
Joe Biden. With the election of
Barack Obama as president, Granholm joined his economic advisory team, having had extensive experience running the Michigan economy, and there was speculation that she might join the Obama administration. On May 13, 2009, the
Associated Press reported that President Obama was considering Granholm, among others, for possible appointment to the United States Supreme Court. Eventually Obama chose
Sonia Sotomayor. In 2010, Granholm was barred from seeking re-election due to Michigan's term limits law. Her governorship ended on January 1, 2011, when
Republican Rick Snyder, who won the 2010 election, was sworn in. ==Subsequent career==