Michigan House Passes $79 Billion Budget with Cuts

News Summary

The Michigan House of Representatives has approved a $79 billion state budget, the smallest since 2021. The budget, championed by House Republicans, proposes significant cuts to various state services, including education and healthcare, igniting concerns among stakeholders about its potential impacts. With a focus on reducing state spending, the new budget represents a $6 billion decrease from the previous plan, raising alarms over essential services funding. As negotiations continue, the budget awaits final approval by September 30 to prevent a government shutdown.

Lansing, Michigan — The Michigan House of Representatives has passed a nearly $79 billion state budget, marking the smallest annual spending plan since 2021. The budget, which was passed nearly two months after the statutory deadline, reflects a reduction of approximately $6 billion compared to the $84.6 billion budget approved by the Democratic-majority Senate, and nearly $5 billion less than Governor Gretchen Whitmer’s recommended $83.6 billion budget. This significant shift also represents a decrease from last year’s budget of around $83 billion.

The House Republicans, who were the driving force behind the budget proposal, characterized it as a necessary measure to tackle “waste, fraud, and abuse” within state spending, asserting that it aligns with member priorities concerning tax dollar allocation towards essential services such as roads, public safety, and education. The budget proposal was advanced on a day that was intended for a meeting between House Speaker Matt Hall, Governor Whitmer, and Senate Majority Leader Winnie Brinks, amid ongoing frustrations regarding the negotiations.

Despite its passage, the new budget has prompted concern from various stakeholders. Critics, including a spokesperson for the Governor’s office, argue that it includes severe cuts to critical state services, including local governments, healthcare institutions, police funding, and Medicaid. They also highlight the elimination of free school meal programs as a troubling aspect of the plan. The budget faced backlash from House Democratic Leader Ranjeev Puri, who noted that there was insufficient time for adequate review before the vote was called.

Budget Allocations and Cuts

According to the budget proposal, K-12 education funding has been prioritized with an allocation of $21.9 billion, while $2.4 billion is designated for higher education. Additionally, around $54.6 billion is earmarked for various state government agencies. However, substantial cuts have been proposed across multiple departments, including a drastic 47% reduction for the Department of Labor and Economic Opportunity and a 53% cut for the Department of Civil Rights.

Furthermore, the Department of Health and Human Services is set to experience a significant cut of 13%, resulting in a $5 billion reduction in its budget. The Attorney General’s office faces a 30% funding cut, while the Michigan State Police budget is reduced by 7%, translating to a loss of $66 million and the elimination of approximately 433 positions, representing an 11% reduction. Republicans have defended these cuts by asserting that many of the positions were unfilled and have criticized the current leadership of the state police.

Impacts and Concerns

The passage of the budget has raised alarms regarding its potential impact on essential services. Cuts to healthcare and education funding are anticipated to pose serious risks, jeopardizing support for local police and social services. These decisions have fueled concerns among Democrats, emphasizing the adverse effects that could arise from such reductions. Further, the budget includes stipulations that require the Attorney General to seek legislative approval for specific lawsuits against the federal government, a move that has drawn criticism regarding checks and balances in legal recourse.

Among the few budgetary increases, the House budget allocates a 50% increase for the Department of Transportation, raising its budget from $6.8 billion to $10.2 billion to secure $3 billion for long-term road funding. House Republicans assert that this funding is crucial for job creation and infrastructure improvements, echoing the overall priority on road development within the budget details.

Next Steps and Legislative Pressure

The budget now awaits further negotiation before a critical deadline on September 30, when a final total budget must be passed to avoid a government shutdown. The House budget was approved largely along party lines, with only one Democratic representative voting in favor. As stakeholders continue to evaluate the implications of the budget, the potential impacts on various sectors of state services remain a point of contention.

The Michigan Health & Hospital Association has labeled the budget as “disastrous” for healthcare providers, joining a chorus of voices concerned about the depth of the cuts and their far-reaching consequences on state welfare programs and services.

Deeper Dive: News & Info About This Topic

• Detroit Free Press
• WLIX News
• MLive
• Wikipedia: Michigan Government
• Google News: Michigan budget cuts