Introduced
by
To authorize another government job training subsidy program for particular employers like one used <a href="http://www.michiganvotes.org/2008-SB-1342">by community colleges</a>, except this would apply to intermediate school districts. Under the scheme an ISD could borrow (“sell bonds”) to pay for training a particular employer’s new hires. The principle and interest would be repaid by means of the state transferring to the ISD a portion of the personal income tax that the particular employer withholds from the pay of new employees. In effect, the subsidy would be paid out of the state general fund in the form of foregone income tax revenues. The bill requires the employer to agree to make the debt a lien on the firm’s property. However the ISD’s bonds would also be backed by taxpayers. ISDs statewide could borrow up to $50 million for this purpose.
Referred to the Committee on Workforce and Talent Development
Reported without amendment
With the recommendation that the substitute (H-1) be adopted and that the bill then pass.
