Michigan Dept. of Ag to spur investment with $4.7M in new incentives

The Michigan Department of Agriculture and Rural Development will deploy $4.7 million for its Food and Agriculture Investment Program, which it operated as a pilot project in the current fiscal year.  Officials believe the program will become a mainstay in Michigan’s economic development toolbox because it helps fill funding gaps for agribusiness expansion projects that do not meet the requirements for traditional performance-based grants from the Michigan Economic Development Corp. For projects to qualify for performance-based grants under the MEDC, companies must create more than 25 or 50 jobs, depending on if the company is located in a rural or urban environment. But even with large expansion projects, agribusinesses typically do not generate the required volume of jobs, sources said.Additionally, the MEDC incentives must go to retain companies in the state, which isn’t normally a concern for agribusinesses.