North Michigan News

State Sen. John Damoose (R-MI-37) said he does not support a proposed “road funding” that would end longstanding Michigan Economic Growth Authority (MEGA) tax credits granted to the auto companies.

“I absolutely do not support the tax increase on our great corporations,” Damoose told North Michigan News. “We’ve watched our beloved auto industry for decades fleeing to other states because of bad policies here at home.“

”We need to be creating a favorable business environment here in Michigan so more companies want to come here - not passing laws and raising taxes that make our companies want to leave,” Damoose said.

Ending the MEGA tax credits would raise the auto manufacturers’ business tax rate from 4.95% to 30%, potentially eliminating $500 million in refundable tax credits. Originally enacted in 2009 to stabilize the auto sector, these credits were set to continue through 2030. 

The Michigan Manufacturers Association said the proposal would results in a “506 percent increase” in taxes, and Sandy Baruah, president for the Detroit Regional Chamber said “the proposed tax increase will do nothing but jeopardize the state's ability to do business.”

As legislators consider the tax increase proposal, General Motors (GM) is expanding across the border in Indiana.

GM is increasing output of its full-size pickup trucks at the Fort Wayne Assembly plant in Indiana, with the company hiring up to 250 temporary part-time production workers to meet growing demand. Job listings indicate a starting wage of $16.67 per hour and availability requirements include weekends and holiday shifts. 

“We continuously update and revise production schedules as part of our standard process of evaluating and aligning to manage vehicle inventory,” GM said in a statement to Fox Business. The company said the Ft. Wayne expansion will “support current manufacturing and business needs.”

The positions involve assembly line work and may lead to full-time roles. Interested candidates are being recruited through GM’s careers portal.

GM maintains major facilities in Michigan, including its Detroit headquarters and the Factory ZERO EV plant in Hamtramck, but the company has already committed a $632 million new investment at the Indiana facility to modernize tooling, update conveyors, and support the next generation of internal combustion engine (ICE) light-duty trucks. 

These upgrades are part of a longer-term trend: GM has invested nearly $2 billion in the Fort Wayne plant since 2013 and more than $2.8 billion in its total Indiana operations, according to the Indiana Economic Development Corporation.

Damoose has represented Michigan’s 37th Senate District since January 2023. The district encompasses Antrim, Charlevoix, Cheboygan, Emmet, Grand Traverse, and Leelanau counties, along with parts of Mackinac and Chippewa counties . Before his tenure in the Senate, Damoose served in the Michigan House of Representatives for the 107th District from 2021 to 2023 . An alumnus of the University of Michigan with a degree in political science, he began his career in media, notably working on “The 700 Club” and later co-founding 45 North Productions, a company dedicated to producing content on American history and values.