This case study, part of the State Structures for the Governance of Higher Education study, focuses on governance and related issues in Michigan's higher education system. The study's overall purpose was to examine differences among states in their governance structures, and to determine if differences in performance were related to governing structures and whether structure affects strategies of state policymakers. The study is based on analysis of documents and on interviews conducted in 1995 with state officials, education administrators, faculty, and staff. The first section provides information on the state, including its political culture and issues for higher education. Section 2 examines the characteristics and history of the Michigan higher education including: constitutional autonomy, the role of the State Board of Education, community colleges, 4-year public institutions, the Presidents Council, tuition, independent colleges and universities, and student financial aid. Section 3 considers work processes, including the budget process, the program planning process, relationships with K-12 schools, the transfer process, and information collection. A final section concludes that state policymakers are generally satisfied with the performance of higher education in Michigan. An appendix lists advisory board members. (Contains 35 references.) (DB)