MEGA Fail: Progress Michigan Bashes Republican Governor for Democratic Governor’s Program

In a post on Twitter, the left-wing advocacy group Progress Michigan criticized Gov. Rick Snyder for corporate tax credits that are causing revenue estimates to be lower than previous projections.

“#Snyder corporate tax credits led to $454M #budget shortfall. Where are those accounting skills when you need them?” the group tweets.

ForTheRecord says: Michigan previously had a tax credit program known as the Michigan Economic Growth Authority, in which the number of and amount of credits exploded exponentially under previous Gov. Jennifer Granholm. The MEGA program was ended by Gov. Snyder shortly after he took office. The current budget shortfall is due to select tax credits approved during the Granholm administration which are being honored – some which put the state on the hook for up to 20 years.

Not only is Progress Michigan wrong about the facts, but the group previously praised companies using the state’s tax credit program – in order to bash Republicans. In September of 2010, Progress Michigan had an article criticizing Republicans for perceived threats to funding for four companies in Michigan: A123 Systems, Johnson Controls, Compact Power and Dow Kokam. Those companies received MEGA credits and other state incentives; they all failed in job projections.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.