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The principle function of NATO of Michigan is to better inform and
serve the interests of its members on matters of statewide interest as it
relates to motion picture exhibition.
We report regularly to our members and solicit input from them on a
variety of issues before the state legislature and the various state
agencies. Our members have testified before legislative committees about
potential changes to Michigan’s Single Business Tax, our state obscenity
laws and most recently on the creation of the Michigan Film Advisory
Commission, to name a few.
We are represented in Lansing by Karoub Associates, the oldest and
most reputable multi-client lobbying firm in the state. They monitor all
pending legislation and state government activities, such as actions taken
by the Michigan Department of Treasury. All issues of interest to
exhibitors is reported immediately to members and closely followed through
the process with frequent updates to the membership. When
critical issues are discussed in Lansing, NATO of Michigan is at the
table!
One of NATO of Michigan’s finest examples of effective
representation was when the Department of Treasury decided unilaterally
that box office receipts would be considered "royalties" and added into
and exhibitors single business tax base for purposes of computing the
amount of tax to be paid to the state. Never before had this been done for
purposes of an exhibitors tax liability and the consequences would cost
exhibitors in our state millions of dollars in additional taxes paid.
Exhibitors from across the state banded together to take their case to the
Michigan Legislature. They hired Karoub Associates to lobby the
legislature to amend the Michigan Single Business Tax Act to specifically
exclude box office receipts from a motion picture exhibitor’s single
business tax base, effectively reversing the action taken by the Michigan
Department of Treasury. After many months of negotiations, testimony
before legislative committees, and calls from exhibitors to individual
legislators, the effort was a success and the legislation was signed into
law. That law remains on the books today, providing motion picture
exhibitors a specific exemption relative to the Michigan Single Business
Tax. NATO of Michigan continues to be vigilant in protecting that
provision of the tax law as well as opposing state and local admissions
taxes and other regressive tax legislation that would harm our industry.
Out of that effort was born NATO of Michigan. The theater operators
who were involved in the successful endeavor to change the Michigan Single
Business Tax law saw the value in speaking to state government with a
unified voice and the positive results which were realized. Hence, NATO of
Michigan was founded in 1996, and continues to speak to government, the
media, and other elements of the motion picture industry on behalf of
exhibitors around the state.
Beyond its dealings with the state legislature, NATO of Michigan has
recently teamed up with Gift of Life and the Michigan Secretary of State’s
office as part of the organ donation awareness program in Michigan. During
Organ Donation Awareness month in 2001, member exhibitors ran trailers,
displayed banners and distributed literature to an estimated 1.5 million
Michigan residents regarding this worthy cause. Due to this effort we were
a recipient of the "Crystal Award" from the Mid-Michigan Chapter of the
Society of Public Relations.
Lastly, a scholarship program is being created to assist the fine
young men and women who work for our member theaters and who wish to
attend a college or trade school of their choice. The NATO of Michigan
scholarship program will help provide some of the financial resources
necessary to realize this laudable goal.
NATO of Michigan gives members a chance to discuss many different
issues that affect them personally and professionally and the ability to
make a difference!

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