Whitmer signs executive directive utilizing the inflation reduction act to lower the cost of doing business, make Michigan more competitive

On Thursday, Michigan Governor Gretchen Whitmer signed an executive directive, the third of three, to ensure Michigan takes advantage of tax credits and other opportunities in the recently passed Inflation Reduction Act (IRA) as effectively as possible. The governor is focused on lowering the cost of doing business, and this directive will ensure state departments and agencies use every tool in their toolboxes to support Michigan’s innovative companies.  

“Today, I am building on my actions to lower the cost of doing business in Michigan by signing an executive directive to ensure that our hardworking entrepreneurs and business owners have the information and resources they need to fully harness the benefits of the Inflation Reduction Act,” said Whitmer. “The executive directive will mobilize state departments to assist businesses in reducing energy and supply chain costs by helping companies reduce emissions, retrofit facilities, and use clean energy to power operations.

Additionally, the directive will build on my efforts to cut red tape and streamline government processes, helping businesses grow right here in Michigan even faster. These provisions to lower the cost of doing business are a great step forward and we will work hard to make sure Michiganders can see and feel the benefits of the inflation reduction act.”

“The Inflation Reduction Act is a transformational opportunity for to lower the cost of doing business and grow Michigan’s economy,” said Lt. Governor Garlin Gilchrist II. “I am proud to stand alongside Governor Whitmer as we institute an across-government approach to help companies take full advantage of the IRA’s resources and savings. Governor Whitmer and I will continue our work to lower costs for Michiganders, grow our economy, and build prosperity in our communities.”

With this executive directive, Whitmer strives to ensure Michigan businesses are positioned to take full advantage of the IRA to lower the cost of doing business.

The executive directive includes the following provisions:  

• Departments should identify affected stakeholder communities and conduct outreach to ensure that they are aware of the opportunities to apply for federal funds and where appropriate coordinate such applications and opportunities. The Michigan Economic Development Corporation (MEDC) and other departments and agencies should identify opportunities to connect state resources with IRA’s resources to lower costs for businesses.  

• Departments and agencies must supply information about federal funding opportunities to partners that will utilize these dollars to lower their production costs.   

• To reduce energy and supply chain costs, state departments and agencies should support efforts to reduce on-site emissions; retrofit industrial facilities to maximize energy efficiency; build up emerging clean energy technologies, such as hydrogen; and continue Michigan manufacturers’ leading efforts to decarbonize their supply chains.  

• Departments must review and act upon permits, licenses, approvals, or applications quickly and efficiently. They should use the processes for streamlining permitting set forth in the governor’s executive directive 2022-06. Departments and agencies must make information available about processes and timelines easily accessible to applicants and take steps to
avoid duplication, improve efficiency, and share information to expedite review.  

The full executive directive can be found at https://bit.ly/3qpkViM.