MEDC highlights SOAR-backed projects including Corning solar facility and Blue Oval Michigan adjustments

LANSING — In a committee update, MEDC and Michigan Strategic Fund staff described how the Strategic Outreach and Reserve Fund (SOAR) is being used to support large, transformational business investments and site‑readiness projects across Michigan.

Christian Armstrong and other MEDC staff said SOAR consists of two distinct programs: the Critical Industry Program (CIP), which provides direct investments to companies to create or retain qualified jobs tied to technology shifts and capital investment; and the Strategic Site Readiness Program (SSRP), which makes grants and loans to help communities develop investment‑ready sites.

“We have often reminded folks that the nature of these transformational projects involve a long lead time,” MEDC staff said, noting that such projects can involve creation of more than 1,000 jobs or more than $1 billion in investment and frequently require infrastructure and site construction before incentives are disbursed. MEDC reported that of the active SOAR work projects, about 52% of funds have been expended, 28% are outstanding obligations and about 10% are committed.

As examples of SOAR activity, staff pointed to two high-profile projects. The Corning project in Richland Township — a planned facility to manufacture solar components — is expected to generate more than $900 million in private investment and create more than 1,100 jobs, MEDC said. The MSF supported the Corning project with a $68 million CIP grant and a $29 million SSRP grant to Thomas Township for infrastructure; MEDC said both awards are performance-based and include milestones and controls on the flow of funds.

Staff also discussed the Blue Oval Michigan battery campus in Marshall (Calhoun County), noting that Ford and local partners revised and resized the project in 2023. MEDC described a negotiated amendment that reduced the project’s initial critical industry program grant to $141 million tied to a baseline commitment to create at least 1,700 jobs and $2.5 billion in capital investment, with the ability to earn up to $166 million if additional investment and job milestones are achieved. MEDC said the amended awards are performance-based and include clawback provisions if milestones are not met.

Committee members asked where money freed by a resized or lapsed project goes. MEDC staff said funds typically remain in the originating work project account up to the statutory 48-month period; depending on authorizing language and whether a legislative transfer has been used, lapsed funds can be available for other projects or revert to the fund. Staff said they would generally bring reallocation proposals to the MSF board and may seek legislative transfer for transparency.

No formal actions were taken on SOAR items during the briefing; MEDC emphasized ongoing board and legislative roles in approving and appropriating SOAR-supported projects.