• Adopt a law that prohibits the Michigan Department of Environmental Quality (DEQ) from promulgating regulations that are more stringent than federal requirements without explicit approval from the governor and the Legislature. This law should require DEQ to review current state regulations, too. Federal requirements are already extremely stringent, since they are based on very conservative theoretical assumptions that are calculated to protect the environment from even the most unlikely threats. Michigan doesn't need to inflate these standards, and it will remain more economically competitive if it doesn't.
  
  
• Pass a law that explicitly states that DEQ operating directives are not binding on regulated parties unless the directives are promulgated as regulations. DEQ directives are not subject to the same sunshine laws and public review as formal regulations, which must follow the Michigan Administrative Procedures Act. Nevertheless, many businesses feel compelled to comply with these unilateral and often-burdensome directives out of fear of DEQ retribution.
  
  
• Establish a statutory requirement that the DEQ act on air permits within six months. Manufacturers need new air permits for their plants whenever they make even modest changes to their processes. A six-month requirement would codify in law a goal that state government already tries to meet, thereby adding predictability to a common business procedure.
  
  
• Repeal the Air Toxics Program and rely on the federal Maximum Achievable Control Technology (MACT) standards that are used by other states. Michigan's early and aggressive regulation in this area has outlived its usefulness, particularly now that the federal government has promulgated the MACT standards. Michigan should not reinvent the wheel for every new air toxics permit.
  
  
• Return the wetlands program to the federal government. The U.S. Army Corps of Engineers operates the program in every state except Michigan and New Jersey. Adopting the federal program would put us on an equal footing with other states and free Michigan from the U.S. Environmental Protection Agency's scrutiny of its standards.
  
  
• Reject the proposed Water Legacy Act, which would require permits to use groundwater. Of the Great Lakes states, only Minnesota requires groundwater permitting. It's a bad idea there, too, but it's more understandable given the semi-arid climate of Minnesota's western regions. Michigan, in contrast, has a wetter climate and already has ample means to protect its groundwater supply. It simply cannot compete with Ohio and Indiana for industry if groundwater is unnecessarily rationed.
  

Governor Granholm must play an additional role. No matter what laws are passed, she must ensure the DEQ operates in a fair, timely and consistent manner that aids, rather than obstructs, businesses in meeting environmental requirements. A "bottom up" culture, in which DEQ personnel impose arbitrary rules, is a blueprint for disaster.

Russell Harding is former director of the Michigan Department of Environmental Quality and is senior environmental policy analyst for the Mackinac Center for Public Policy, a research and educational institute headquartered in Midland.