Granholm: Tax incentives to run out for businesses

LANSING, MI – Gov. Jennifer Granholm and economic development officials want lawmakers to let the state offer more tax incentives to businesses that create or retain jobs.

Michigan is about to run out of tax credits it can grant in 2009.

The Democratic-led House has voted to raise the cap on the amount of tax incentives. The legislation is pending in a Republican-controlled Senate committee.

Granholm announced eight development projects Tuesday. She told reporters that tax incentives help Michigan land jobs it otherwise would lose to other states.

The Democratic governor says she's confident the Legislature will act before the next Michigan Economic Growth Authority meeting in August. Otherwise the state will only announce a couple projects and be done for the year.