Michigan League of Conservation Voters (LCV) was made aware today of the final terms of an agreement between the State of Michigan and AK Steel. At its meeting tomorrow, the Michigan Strategic Fund Board is expected allow the company to assume $20,363,905 in phased out tax credits over the next six years.
This agreement was reached after AK Steel failed to gain legislative approval last session for an estimated $55 to $60 million in phased out MEGA credits. The legislative opposition to the credit was predicated on concern over the financial impact of allowing phased out MEGA credits to continue as well as the poor environmental track record of the Dearborn Works plant in question.
AK Steel’s facility in Dearborn is chronically in violation of air quality standards to the detriment of the health and wellbeing of the surrounding communities. Michigan LCV has consistently maintained that under any agreement, AK Steel should be required to come into compliance or commit to coming into compliance with all air quality and environmental standards as a condition of accessing the transferred credit.
Charlotte Jameson, government affairs director of the Michigan League of Conservation Voters, plans to testify in opposition to the agreement at the Strategic Fund Board meeting on Tuesday, April 25 at 10 AM.