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Loan program may become forgiving.

Publication: Crain's Detroit Business
Publication Date: 23-JUN-08
Format: Online
Delivery: Immediate Online Access

Article Excerpt
Byline: Amy Lane

A program to help Michigan close economic development deals is moving forward with new legislation that will allow the state to forgive loans made under the program.

As Crain's has reported, the $18.7 million Choose Michigan Fund program will provide upfront loans against future tax credits, as incentive to attract business investment and jobs.

But a bill passed last week by the state House allows the Michigan Strategic Fund board to also forgive those loans on the basis of the project's economic impact.

Under House Bill 6208, the loan agreement would enumerate terms, conditions and requirements under which some or all of...

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