Granholm, MSU reach deal to save extension service money

Mark Hornbeck / Detroit News Lansing Bureau

East Lansing -- Gov. Jennifer Granholm and Michigan State University have reached agreement on continued funding for the agricultural extension and experiment station programs, but will change their focus.

MSU Extension will be restructured with a priority on supporting the green economy, according to a statement released by MSU.

"The Michigan Agricultural Experiment Station and Michigan State University Cooperative Extension have historically provided relevant, responsive services that were tailored to our rural communities," Granholm said in a statement. "As Michigan moves from rust to green, these programs will be focused on enhancing our local communities' efforts to collaborate and innovate in the new clean energy economy.

"I support continued funding for this restructuring, with its emphasis on growing Michigan's new green economy."

MSU officials had expressed concerns Granholm would veto funding for the extension program when the school's October payment arrived without money for it. The higher education budget, which includes $34 million for the experiment station and $29 million for the extension service, is among six budget bills for the fiscal year the governor has not signed.

Aides to Granholm declined comment on whether the governor would sign the bill with all the money for extension intact.

"But clearly, the governor is pleased with this restructuring," said Megan Brown, spokeswoman for Granholm.

"Some money was held back from the October payment to keep our options open given the uncertainty with the budget. The budgets are still under review."

Tom Coon, MSU Extension director, said the 95-year-old organization will "closely support Michigan's burgeoning green economy, support its knowledge base and extend the university's broad research base."

Specific structural changes will be announced in the coming months, university officials said.

"We at MSU have been engaged in the reshaping of MSU Extension to best meet the prosperity needs of Michigan in the 21st century," MSU President Lou Anna Simon said.

mhornbeck@detnews.com (313) 222-2470