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State Rep Hall says GM extorted taxpayers for battery plant it is now selling
The new GOP speaker of the Michigan House is disappointed and critical of GM alleging that our tax dollars were wasted.
LANSING (FOX 2) - It was 2022 when the governor and head of General Motors in 2022 announced the company would spend billions to build EV batteries in Lansing using $666 million of state taxpayer incentives to do it.
This week without the fanfare, GM announced it was pulling out of the deal and selling it to partner LG Energy Solution.
The new GOP speaker of the Michigan House is disappointed and critical of GM alleging that our tax dollars were wasted.
Tim Skubick: "Is it too far-fetched to accuse GM of abusing Michigan taxpayers?"
"No," said Rep. Matt Hall (R-42nd District). "It's just the arrogance of GM to do that."
Back in 2021, GM went to Gov. Gretchen Whitmer and lawmakers and according to Hall, delivered an ultimatum - either helps us with these new plants or we will go to some other state. The governor with a bi-partisan vote, allocated the $666 million.
Hall, from southwest Michigan, argues GM extorted the money - and he wants it back. But Hall is not aware of any contractural language to force the return of those tax dollars.
Skubick: "The governor you think should have put language in to say if you renege, we get the money back?"
"Yes," Hall said.
It's unclear if that language is in there.
Hall argued the state tax incentives showed that the state is committed to General Motors. Hall is not so sure the feeling is mutual. And if he had a 1-on-1 with the CEO, he would let her know about it.
"I would tell her, that her only obligation is not to her shareholders," Hall said. "I'm disappointed and I would ask her to step up and show the people of Michigan you're committed to our state and you're committed to Detroit."