SE Oakland News

Michigan State Senator Thomas Albert has reintroduced a legislative package aimed at ending the Strategic Outreach and Attraction Reserve (SOAR) Fund and restructuring economic development efforts in the state. The legislation, Senate Bills 486 through 491, would repeal SOAR and return unused funds to Michigan’s general fund.

“We must fundamentally change how we approach economic development in Michigan —because corporate welfare and the MEDC are failing miserably,” said Albert, R-Lowell. “It’s been one disaster after another, and Michigan taxpayers deserve much better.”

SOAR was established as a $1 billion program in 2021 but has grown since then. According to Albert, annual appropriations have reached $500 million with limited results for taxpayers. He noted that he initially supported SOAR but has voted against its funding since late 2022 due to concerns about escalating costs and lack of accountability.

“Projects have either never materialized or, in cases such as the Marshall mega-site, have cost far more than they are ever going to be worth to taxpayers,” Albert said. “SOAR has failed to deliver on its promised quality investments and is a lesson on the failures of big government economic planning. The program is not working as intended and should be scrapped.”

The proposed bills would also prohibit elected officials from signing nondisclosure agreements (NDAs) related to publicly funded economic development projects. Albert himself previously signed an NDA while serving as House Appropriations Committee chair but rescinded it in early 2023, arguing that NDAs contributed to a “culture of secrecy” within the Michigan Economic Development Corporation (MEDC).

Albert’s plan includes monitoring approved SOAR projects through independent evaluation under the Economic Development Incentive Evaluation Act—a law he sponsored in 2018—to determine if such programs benefit taxpayers.

Additionally, Albert announced plans for future legislation that would dismantle the MEDC. His proposal seeks to eliminate most MEDC programs, transferring any essential initiatives to other state agencies with increased transparency and legislative oversight.

“MEDC has funneled billions of tax dollars to huge corporations, risky startups and politically connected grant recipients without any real accountability in the process — and that’s why there have been so many problems,” Albert said. “We’d be much better off reinvesting some of this money into road repairs and community improvements and using the rest to lower taxes overall so Michigan becomes a more attractive place to live for everyone.”