The Detroit News reports that General Motors wants $10 million in refundable or assignable tax credits for its Warren Tech Center. It needs to be noted that the company already is getting billions in state support.

The facility has been the subject of multiple tax deals with the state. In September 2008, the facility was part of a retention and brownfield credit that was expected to cost the state $168 million.

The company has been the recipient of at least 10 other deals from the Michigan Economic Growth Authority, with estimated incentives valued at the time of passage at more than $1.5 billion, including its massive special 2009 award.

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That’s not even including assistance in these deals from federal or local government incentives, let alone its $50 billion federal government bailout.

These incentives are often awarded over competition from other states, so the state isn’t necessarily asking how much any particular company should receive.

But the amount of assistance received by some companies ought to be enough to get legislators to blanche. It is a good thing that the new tax deal ushered in last week limits the ability to award these kinds of deals.


See also:

Debate Rages On: Did Uncle Sam's $50 Billion Bailout of GM Work?

Did the Auto Bailout Really Save One Million Jobs?

The Auto Bailout Payback

Bailout Walmart?


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Ted Nelson is a retired Michigan State Police officer who trained police departments throughout the state on civil asset forfeiture. He believes the practice has been misused and needs to change.

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