June 17, 2005
June 17, 2005
Renews Call for Republican Action on Plan to Jumpstart Economy
LANSING – Governor Jennifer M. Granholm today to highlighted details of her proposal to provide financial incentives for the upgrade and expansion of downtowns and renewed her call for Republican leaders at the State Capitol to act on her economic plan. During a visit to downtown Kalamazoo, Granholm said the expansion of the scope of downtown development authorities, included in the Jobs Today Initiative, is part of a broader strategy to create tens of thousands of jobs and jumpstart Michigan’s economy this year.
“Projects that will create jobs by rebuilding infrastructure, improving neighborhoods, demolishing abandoned or neglected buildings, and opening the doors to economic development are being identified all over this state,” said Granholm. “But cities like Kalamazoo can’t get to work until the Republican Legislature does its job.”
Under the Governor’s plan, municipalities with a Downtown Development Authority (DDA) or Tax Increment Finance Authority (TIFA) will be allowed to capture property taxes from their existing downtown development areas to finance improvements in new Downtown Expansion Zones (DEZs). Communities interested in projects such as site preparation, demolition activities, infrastructure developments and streetscaping are encouraged to apply to the Michigan Economic Development Corporation to establish a DEZ.
In order for communities to take advantage of the Governor’s proposal, a legislative change is needed to allow for the capture of additional state property taxes. Legislation was introduced in April but remains in committee.
“The Jobs Today Initiative is an excellent opportunity for local communities to spur downtown residential and commercial development while creating critically needed jobs,” said Granholm.
The Jobs Today Initiative is one part of the Governor’s five-part economic plan. Granholm’s plan will grow Michigan’s economy by reforming business taxes so major job providers will keep jobs in Michigan; train thousands of unemployed workers for in-demand jobs; create thousands of jobs today by accelerating infrastructure projects; and, make college accessible and affordable to all through a new Merit Scholarship. It would also transform and diversify Michigan’s economy, creating 72,000 jobs for people from all walks of life through the Jobs for Michigan Fund which will invest $2 billion in cutting edge technology without raising taxes.
For more information visit www.michigan.gov/gov
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