Traverse City Record-Eagle

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July 15, 2012

Schmidt and Gillman square off in primary

TRAVERSE CITY — TRAVERSE CITY — Two Republicans who want to represent Grand Traverse County in the state House have far different philosophies when asked about government using taxpayer dollars to support private enterprise.

Jason Gillman, a Tea Party activist and a Grand Traverse County commissioner, rails against tax incentives, as well as laws that would benefit one business over another and other free market tinkering.

Incumbent Rep. Wayne Schmidt supports such programs as a way for Michigan to compete with other states to attract businesses that create jobs. The two will square-off in the Aug. 7 Republican primary for the 104th District House seat.

“Basically, I’m not a person who supports economic development schemes or gimmicks,” Gillman said. “We have the most beautiful state in the world; why are we paying people to come here and set up shop?”

Gillman’s county board record includes votes against county offers of low-interest loans and tax incentives to spur development. He said he’d act to disband the state’s economic development agency if elected to the House.

Gillman cited several examples of taxpayer money that was invested into companies that flopped.

“Take battery makers, who after promising hundreds of jobs, it is now known as a non-starter,” Gillman said.

Schmidt promoted tax incentives for developers when he served as a Grand Traverse County commissioner last decade. He points to successes, such as the redevelopment of the former state hospital grounds into the Grand Traverse Commons.

“We are competing with other states ... and other countries,” Schmidt said. “In a perfect world it would be great if everyone was on a level playing field, but this is not a perfect, theoretical world.”

Gillman plans a lowbudget campaign, but he recently received a boost when the conservative organization Americans for Prosperity mailed a flyer to Grand Traverse County voters. The mailer depicted Schmidt standing with President Barack Obama and other prominent Republicans who backed federal health care reform commonly known as “Obamacare.”

“When I saw that ... I almost choked,” Gillman said. “It was good for me ... but I doubt it will happen again.”

The organization founded by billionaire businessman David Koch targeted Schmidt and other lawmakers because they declined to sign a pledge against instituting an insurance exchange for Michigan. The exchange, an accessible marketplace for health insurance plans, is called for in the federal Patient Protection and Affordable Care Act.

“I’ve opposed instituting Obamacare, and I’m still not in favor of it ... but the Supreme Court has ruled,” Schmidt said. “It’s my job and my fellow legislators’ job to do what is best for the people of the state of Michigan.”

Schmidt said he will wait to hear what House policy experts say before making a decision about the exchange.

Gillman would oppose the exchange, which he calls a health care takeover by government.

“We have to stop manipulation by government of the free markets,” Gillman said. “They have to get their hands off the system, because they complicate it.”

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