LANSING – After eliminating the state’s lucrative film subsidy and replacing it with $25 million in incentives, the Legislature approved a framework Thursday to dole out those funds, with an extra incentive to hire Michigan workers.

Senate Majority Leader Randy Richardville (R-Monroe), the bill sponsor, has said the intent of SB 569 is to make sure that that if the state puts money into a film project, it has to be directed in a more responsible way that will benefit workers in the state.

It does not appropriate any funds, but directs how the state would divide $25 million in incentives to film, television and video game projects made in the state. It would provide tax incentives starting at between 25 percent and 32 percent for costs of activities and personnel in Michigan. Republicans also had concerns because, while the incentives are aimed at encouraging the hiring of Michigan residents, a company could bring in all of its workers from outside the state and still receive a sizable credit.

Richardville said he wanted to help the Michigan jobs and companies involved in the film industry here and the next step will be increasing the appropriation supporting these credits next year.

“It was important to me to continue the investment in this industry,” he said.

Rep. Wayne Schmidt (R-Traverse City) said the bill focuses on what Michigan does best, which is film production and post-production. He said the bill also adds transparency measures.

The House approved it 92-15. The Senate concurred soon after without discussion, 35-3.

Several Democratic amendments, as well as three from Rep. Mike Shirkey (R-Clarklake), were rejected Wednesday.

One of Shirkey’s amendments would have stated the total amount of money a firm could have been awarded could not have exceeded the amount it would expect to pay in state taxes.

Rep. Roy Schmidt (D-Grand Rapids) said he had joked recently that if Richardville had worked as hard on the Detroit-Windsor bridge as he did on film credits, the bridge would have been built.

But he said he apologized because the film credits have been a blessing for Michigan.

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