2009 Senate Bill 466 / Public Act 26

Increase electric car subsidies

Introduced in the Senate

April 23, 2009

Introduced by Sen. Wayne Kuipers (R-30)

To authorize a $100 million refundable Michigan Business Tax credit and other subsidies that would go to a subsidiary of the Korea-based LG Chem battery company for a plant in Michigan. The bill increases and adds a fourth beneficiary for the subsidies authorized by a <a href="http://www.michiganvotes.org/2008-hB-6611">2008 law</a>, further expanded by <a href="http://www.michiganvotes.org/2009-hB-4505">2009 law</a>. The 2008 law authorized various subsidies estimated at $335 million over seven years. This bill would add an additional $145 million to that. “Refundable” means that the state will send a manufacturer a check for the amount that the credit exceeds the firm’s tax liability.

Referred to the Committee on Commerce and Tourism

April 29, 2009

Reported without amendment

With the recommendation that the substitute (S-1) be adopted and that the bill then pass.

Substitute offered

To replace the previous version of the bill with one that revises details but does not change the substance of the bill as previously described.

The substitute passed by voice vote

April 30, 2009

Passed in the Senate 36 to 0 (details)

Received in the House

April 30, 2009

Referred to the Committee on Tax Policy

May 6, 2009

Reported without amendment

Without amendment and with the recommendation that the bill pass.

May 7, 2009

Passed in the House 102 to 6 (details)

To authorize a $100 million refundable Michigan Business Tax credit and other subsidies that would go to a subsidiary of the Korea-based LG Chem battery company for a plant in Michigan. The bill increases and adds a fourth beneficiary for the subsidies authorized by a <a href="http://www.michiganvotes.org/2008-hB-6611">2008 law</a>, further expanded by <a href="http://www.michiganvotes.org/2009-hB-4505">2009 law</a>. The 2008 law authorized various subsidies estimated at $335 million over seven years. This bill would add an additional $145 million to that. “Refundable” means that the state will send a manufacturer a check for the amount that the credit exceeds the firm’s tax liability.

Signed by Gov. Jennifer Granholm

May 12, 2009