GM gets tax breaks for Flint plant

GM's request for incentives, approved Monday by the Flint City Council, stirred unease among some residents in GM's birthplace, where thousands of jobs have been eliminated over the years. 'A lot of people still feel ... General Motors owes us more than just a couple hundred jobs,' Councilman Jim Ananich said. 'I still sometimes have those feelings -- but as competitive as the market is and the trouble General Motors is having, we have to help them with whatever we can do to keep them competitive.' The city extended an existing abatement of 100 percent of the personal property taxes until 2033 and granted GM a 50-percent, 15-year abatement of real property taxes. Flint City Council also approved GM's brownfield redevelopment plan for the proposed engine plant. That approval makes GM eligible for state brownfield tax credits, which support new uses for contaminated or blighted property. The city will receive about $6.4 million in real property taxes each year. GM is seeking more tax incentives from the state. The automaker is expected to unveil the production Volt at an upcoming auto show, perhaps as early as the Paris show in October, the Los Angeles show in November or the Detroit show in January. The Volt will operate like a plug-in hybrid; it will be rechargeable via a standard 110-volt outlet and able to travel up to 40 miles on electric power alone. The car also will have a gas engine that powers a generator to recharge the battery and keep the vehicle running when its lithium-ion battery pack runs low on power. The vehicle could cost as much as $40,000 because of its expensive batteries, and Congress is considering tax breaks for plug-in vehicles that would defray the purchase cost of the Volt. Detroit News Staff Writer David Shepardson contributed to this report. You can reach Robert Snell at (313) 222-2028 or [email protected].