LANSING – A bill that would eliminate the state’s film incentive program cleared the House Tax Policy Committee on Wednesday, and the chair said it will be voted on the by full chamber soon.
HB 4122 was sent to the House floor on an 8-3 party-line vote with Rep. Michael Webber (R-Rochester Hills) and Rep. Paul Clemente (D-Lincoln Park) abstaining.
Rep. Jeff Farrington (R-Utica) said the bill will be voted on by the full House soon, and Gideon D’Assandro, spokesperson for House Speaker Kevin Cotter (R-Mount Pleasant), said the bill will likely come up next week, but it could come up at any time.
While there were some at the committee who had hoped to testify, testimony was taken last week so the bill was voted on without any discussion.
Supporters of the program testified last week that although jobs aren’t permanent, they are good-paying jobs that should stay in the state.
However, opponents say the program is too expensive and hasn’t worked the way it should. The incentives were $50 million in the current fiscal year, but $12 million was cut from the program in Governor Rick Snyder’s executive order.
Snyder had recommended $50 million in film incentives for the 2015-16 fiscal year in the executive budget.
Farrington said wherever the money was sent, there would be jobs. He said the same could be said for construction crews if the funds were used for roads.
“Dollar for dollar it doesn’t make sense,” he said. “The testimony last week was the one project was $30 million in payroll and we gave them a $35 million tax credit. It just doesn’t make sense.”
Farrington said California had the industry for 100 years, and it left after the state wouldn’t provide tax incentives. He said there is no reason to think the industry would stay in Michigan.
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