Aug 19 - McClatchy-Tribune Regional News - Chris Christoff, Tom Walsh, Korie Wilkins And Kathleen Gray Detroit Free Press

With nearly 3,000 manufacturing jobs and the prospect of turning the former Ford assembly plant in Wixom into a world-class alternative energy park at stake, Gov. Jennifer Granholm on Tuesday called on the Legislature to authorize new tax credits.

The redevelopment of the Wixom plant, closed in 2007, would involve several companies. At least one would manufacture solar energy products.

"We want to create a national destination for renewable energy products and projects, and that particular facility would create, if the project goes through, 2,750 direct jobs and 10,000 supplier and indirect jobs, with a total investment of $725 million," she told reporters.

She declined to elaborate, but said "it will not happen unless those additional tax credits" are authorized for the Michigan Economic Growth Authority, or MEGA.

State Sen. Nancy Cassis, R-Novi, who serves as chairwoman of the Senate Finance Committee, was to meet Tuesday evening with officials from Ford and Wixom to discuss the proposal.

Senator wary of granting credits without oversight

Late last year, Wixom officials sought federal government assistance to clean up the former Ford assembly plant for a mixed-use energy park.

Now, it appears the sprawling facility might be used for an industry Granholm has promoted as a linchpin to Michigan's economic resurgence -- renewable energy.

Granholm surprised her staff Tuesday by revealing that talks were under way to make the facility "a national destination for renewable energy products and projects."

Wixom City Manager J. Michael Dornan could not be immediately reached for comment. A Ford statement said the company is "working with interested developers and government agencies" but that no decisions have been made.

Cassis confirmed that the old plant in her district is targeted for a renewable energy project. She chided Granholm for revealing discussions for a project she said is "in its infancy."

Cassis spoke Tuesday as she drove to a meeting with Ford and Wixom officials to discuss the project.

Cassis is a key player in the Legislature to extend the state's tax credits granted by MEGA.

She complained that Granholm's administration has doled out a year's allotment of tax breaks in seven months and should be more discriminating.

The tax breaks are spread over a number of years, typically seven or 10. The administration is limited to granting 400 years of tax breaks per year -- an allotment it has used up for 2009.

Granholm wants an additional 100 years of tax credits this year.

Cassis has said before that she'll approve more tax credits, but insists on more oversight.

"They're giving away so many to companies that will create maybe seven, 10, 15 jobs, and using the allocation up," she said.

Cassis said the Wixom project would not create 2,000 jobs immediately, as Granholm has projected, and said the amount of tax credits the project could receive should be flexible.

Maureen Krauss, Oakland County's director of economic development and community affairs, said the City of Wixom, Ford and Oakland County are "very motivated to get that site developed and we're talking with some very interested parties."

"It's one of the largest manufacturing sites in the United States and we have to look at it as an opportunity for a lot of companies," she said.

Oakland County wants quick action from the Legislature on more MEGA credits to put together deals for companies interested in the Wixom site and other locations.

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