LANSING – The Michigan House today passed a plan proposed by State Representative Robert Dean (D-Grand Rapids) that will entice cutting-edge businesses to locate in Michigan and create good-paying jobs by offering tax breaks to more companies that create renewable energy.
"The renewable energy industry is growing by leaps and bounds, and it is imperative that we capture our share of the jobs and investment that it is creating," Dean said. "We can't let this opportunity pass us by. This plan will give our economy the shot in the arm it needs and encourage the production of clean, renewable energy in Michigan."
Dean's plan will allow facilities that create energy using wind, agricultural commodities, biosolids (organic materials resulting from the treatment of domestic sewage) and materials from landfills to be designated as "renaissance zones" by broadening the state's definition of "renewable energy facility" in the Michigan Renaissance Zone Act. Facilities focused on the research, development, or manufacturing of wind energy systems or solar energy systems would also be included under the new definition.
Businesses in renaissance zones are exempt from the Michigan Business Tax, the state education tax, local real and personal property taxes, and specific taxes levied in lieu of property taxes. Renaissance zones are designated by the State Administrative Board on the recommendation of the Michigan Strategic Fund Board. The zone can only be created with the permission of the city, township or village where the facility is located.
"Michigan has the tools to be a powerhouse of renewable energy development," Dean said. "We have the highly skilled workforce that businesses desire and all the natural resources we need. By encouraging renewable energy companies to locate here, this plan will bring investment to Michigan communities, create good-paying jobs for our workers now and for years to come, and help keep our air clean and healthy."