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Gov. Snyder Signs Law Ending Michigan Film Incentives

LANSING (WWJ/AP) - Gov. Rick Snyder has signed a law to end state incentives that encourage the production of movies and TV shows in Michigan.

The Republican governor said Friday that, while the Michigan Film Office will continue operating and incentives that have already been awarded will be honored, no new cash rebates will be offered.

Under this new legislation, the money from the program will instead go to road repairs.

Conservative critics say spending millions of public dollars on making movies is unjustified and few full-time industry jobs have been created. The industry and other defenders of the incentives say they have had a positive economic impact and are needed to compete with other states.

Michigan's program began in 2008 as a refundable tax credit and was converted to a cash incentive in 2011, with the state typically budgeting $50 million annually for incentives in recent years. Michigan reimbursed 25 percent of studios' qualified production expenses, more if they spend at permanent studios or post-production facilities in the state.

Snyder says Michigan still "has much to offer the movie industry" such as "top-notch talent and beautiful backdrops."

He isn't dwelling on if the incentives were a success or failure.

"I've always thought there were challenges with the film credits," said Snyder. "The important part is, again, decisions have been made, let's move forward and let's try to do good films in Michigan without tax credits."

Movies filmed in the state include "Batman v Superman: Dawn of Justice" scheduled for release next year, "The Five-Year Engagement" and "Gran Torino."

The state has paid out more than $250 million in incentives, and that amount will grow once already-authorized projects are finished.

The Michigan Film Office will shut down in three years.

TM and © Copyright 2015 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2015 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.

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