In and outs of the political campaigns, focusing on Michigan and Lansing, Tim Skubick will report regularly throughout the primary and then general election campaigns.
Monday, July 27, 2009
Bye-Bye Hollywood Credit
When they roll the closing credits on a movie, the audience usually makes a mad dash for the exit. After all who really cares who the second assistant to the main gaffer was on a flick? But for the movie Gran Turino, the audience stayed glued in their seats. In fact there was an air of anticipation according to Mitch Albom who was there. Near the end of the credits was a simple sentence, "Filmed in Michigan" and with that the Mitch-ster reports, everyone jumped up and applauded. In these tough economic times, apparently we are desperate to cheer about anything. Clint Eastwood and company filmed in Michigan because he got a nifty 42% tax break from the state and now senate republicans want to do to the credit, what that gang did to Eastwood's character at the end of the film…shoot it dead. Turns out they have the governor over the barrel on this one and she will have to give in at some point if she wants GOP votes to raise $500 million by closing other tax loopholes. The senate R's also have on their "to cut" list the so-called Earned Income Tax Credit which is near and dear to the heart of state budget director Bob Emerson. For years he toiled to enact the tax break for the truly needy, but republicans want to slice and dice that saying the state can't afford that tax break either. Doing away with or dramatically reducing the film credit and the EITC appear to be non-negotiable for the GOP. Either they get what they want, or the governor will get a goose egg on raising new money to balance the budget. Look for her to reluctantly give-in.