In a landmark move, Michigan Governor Gretchen Whitmer signed into law a massive $57 billion budget on Monday, setting a new record for the state. This substantial budget, prioritizing infrastructure, public safety, and public health, reflects the legislative priorities of the Democratic party for the first time in several decades.
When combined with the earlier sanctioned $24 billion fund for Michigan’s schools, the total budget stretches to nearly $82 billion — a record high for the state. The previous fiscal blueprint capped at $76 billion. This robust financial plan, a result of months of legislative tug-of-war, cleared the Legislature in late June and takes effect from the beginning of the next fiscal year, October 1st.
“The budget protects public safety and improves access to health care, ensuring people feel safe in their neighborhood and have access to quality, affordable care that meets their needs,” Whitmer said in a statement.
The current Michigan budget is $76 billion. However, due to higher-than-expected tax revenues, lawmakers started the budgeting process in February with an estimated surplus of over $9 billion. The newly-signed budget will leave approximately $300 million in the general fund and $100 million in the school aid fund unspent.
At the time of passing, Republicans criticized the budgeting process, arguing it lacked transparency. They also claimed the budget was overly inflated, with more funds needing to be directed towards road repairs. Despite these objections, the budget secured the six Republican votes required in the Senate to ensure its timely implementation.
The $57 billion general budget will fuel a variety of state departments. It includes more than $6.5 billion for transportation and $1 billion for the Environment, Great Lakes, and Energy. Additionally, it provides hundreds of millions in grants for public safety and infrastructure improvements within communities.
Governor Whitmer’s signing of this unprecedented budget signifies a momentous step for Michigan, demonstrating a clear and potent commitment to prioritizing and investing in the state’s infrastructure, public safety, and health. The historic nature of this budget, coupled with its focus on pivotal sectors, is an unmistakable signal of the state’s shift in legislative direction and priorities.
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