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Like most other states in the U.S., Michigan recently began addressing the problem of climate change. The Michigan initiative involves combining a stakeholder process and technical analyses to formulate a climate action plan. This paper reports on how regional scientists collaborating with facilitators of the policy-making process and state government decision-makers addressed two key aspects. First is the choice and design of policy instruments to use to implement greenhouse gas (GHG) mitigation and sequestration. Second is the decision on whether the state should pursue its target for net GHG reduction on its own or in cooperation with other states. We summarize the results of applying a formal model for analyzing the implications of Authors' Note: The authors are, respectively, Research Professor, School of Policy, Planning, and Development (SPPD), University of Southern California (USC), Los Angeles, CA; Post-doctoral Research Associate, SPPD, (USC); Consultant to the Center for Climate Strategies (CCS); President and CEO of CCS. We would like to acknowledge the funding support of Faurecia, Inc., Roy A. Hunt Foundation, Kendeda Fund, Norman Founda-tion, the Rockefeller Brothers Fund, the Sandler Family Foundation, and the Michigan Department of Environ-mental Quality. Legions of stakeholders and analysts contributed to the process and research described in this paper. We wish to offer special thanks to CCS team members:. Of course, any remaining errors and omissions are solely those of the authors. Moreover, the views expressed in this article represent those of the authors and not necessarily any of the institutions with which they are affiliated nor the institutions that funded the research.