2010 House Bill 5788

Require “clawbacks” in selective tax break and subsidy deals

Introduced in the House

Feb. 9, 2010

Introduced by Rep. Jim Slezak (D-50)

To require targeted Michigan Economic Growth Authority (MEGA) and other selective Michigan Business Tax break and business subsidy agreements to include a 100 percent “clawback” provision, which requires a company to pay back all the tax breaks or cash subsidies if it leaves the state during the period of the agreement. The company would also have to agree to submit to Michigan court jurisdiction in a dispute.

Referred to the Committee on Tax Policy