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Snyder signs new film incentive program, battery production tax credit into law
Wednesday, Dec. 21, 2011
LANSING, Mich. - Gov. Rick Snyder on Wednesday signed legislation that will help the advanced battery manufacturing and film industries grow while ensuring that economic development incentives awarded by the state are used to create jobs.
"The goal of these changes is to make sure that economic incentives result in job creation," Snyder said.
Senate Bill 569, sponsored by Senate Majority Leader Randy Richardville, replaces film credits that are currently hidden in the tax code with a $25 million budget appropriation for the new Film and Digital Media Production Assistance Program, which the Michigan Film Office will run. To qualify for funding, an eligible production company must have direct production expenditures and/or Michigan personnel expenditures of at least $100,000.
Under the new legislation, the Michigan Film Office must also create a publicly available performance dashboard, which will include specific measures including the amount of each incentive dispersed for each state-certified qualified production.
Gov. Snyder today also signed S.B. 855, sponsored by state Sen. Mike Kowall, which authorizes the Michigan Economic Growth Authority (MEGA) to enter into agreements to provide incentives for the construction of advanced battery manufacturing facilities, but scales back the amount of incentives that can be offered and requires jobs to be created in order for companies to receive the incentives.
"As we work to bring new investment and create jobs, it is vital that we leverage Michigan's rich and varied asset base," said MEDC President and CEO Michael A. Finney. "The advanced battery and film production sectors offer significant opportunities to take advantage of our high quality talent. These credits will enable us to continue to attract major projects in both sectors within a targeted and fiscally responsible framework."
S.B. 569 and 855 are now Public Acts 291 and 292 of 2011.