LANSING, Mich. (AP) — Gov. Gretchen Whitmer vetoed two bills Friday that would let businesses seek refunds for taxes paid on personal protective equipment, disinfectants and plexiglass barriers during the coronavirus pandemic.
Whitmer said she instead favors creating a direct grant program with federal money. She said tax credits would be ineligible for reimbursement from Washington, a blow to the state budget.
The bills passed the Legislature with support from both parties.
“I know we all share a commitment to sound fiscal management, embodied in a good faith agreement to run any legislation with a fiscal impact through the budget process,” Whitmer, a Democrat, said in a letter to lawmakers.
The Detroit Regional Chamber, an influential business group, was disappointed.
The bills “responded to the needs of businesses that were doing everything that Gov. Whitmer asked of them to keep employees and patrons safe,” said Brad Williams, the group's lobbyist.
“In a political era when there is very little cooperation across party lines, there was overwhelming bipartisan support for this legislation. ... Such bipartisanship deserves to be celebrated rather than vetoed,” Williams said.