Rep Tedder Brownfield redevelopment plan benefits Michigan

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first_img A Michigan House committee led by Rep. Jim Tedder today approved legislation to breathe new life into abandoned sites while boosting state finances.The legislation would prompt redevelopment of brownfield sites that otherwise would remain abandoned. Developers would be able to keep some of the income tax and sales tax revenue generated when new businesses and residents move in to a redeveloped site, but only after an independent third party verifies an economic benefit to the state – one of many built-in protections for taxpayers.Tedder, of Clarkston, said the plan has the potential to benefit sites across Michigan, such as the Summit Place Mall and the Pontiac Silverdome in Oakland County. Community leaders from across the state testified in favor of the legislation, saying it could provide new purpose for sites that otherwise are too costly to clean up and redevelop.“Under the free market, which I certainly am an advocate of, these projects don’t make sense for developers to pursue. And the blight still stands,” said Tedder, chair of the House Tax Policy Committee that approved the legislation with bipartisan support. “These sites would remain vacant and useless unless we creatively cultivate redevelopment. With this legislation, we will generate tax revenue from sites that aren’t producing any now while providing new places to work and live across Michigan.”Tedder said the brownfield transformation plan has important differences from other state incentive programs for businesses.“We incentivize the right things with this brownfield plan,” Tedder said. “It requires significant investments on the part of businesses, and they do not get a tax break like they do with other grants or programs. This is not corporate welfare. It is smart business for the state.”The program features other important protections for taxpayers. No more than five transformational brownfield plans could be approved for any one year. Tax benefits for developers would be limited to 20 years, or until the benefits equal the total investment amount of the project.The bills advance to the House floor for consideration.###The legislation: Senate Bills 111-115. 26Apr Rep. Tedder: Brownfield redevelopment plan benefits Michigan Categories: News,Tedder Newslast_img

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