By Rick Pluta, Michigan Public Radio Network
http://stream.publicbroadcasting.net/production/mp3/wkar/local-wkar-891589.mp3
LANSING, MI –
The state House has linked funding for the Pure Michigan ad campaign to a measure tht would require the state's economic development agency to conduct background checks on applicants for tax breaks.
AUDIO:
The House action is in response to the Michigan Economic Development Corporation mistakenly granting a $9 million tax credit to a convicted embezzler. House Speaker Andy Dillon says the incident was a big embarrassment. He says funding for the Pure Michigan campaign is a chance to send a message.
"We're sending this money to a department that's not doing its homework," he says. "I don't want them to think that we're willing to give them more money after what I just read in the paper."
The House approved a measure that would allow the MEDC to borrow up to $20 million to get the Pure Michigan ads back on the air in time for the summer travel season. The loans would be secured by future revenue from a proposed tax on airport rental cars. But Republicans are opposed to the tax, and the controversy may have to be settled next week by a joint House and Senate conference committee.