(The Center Square) – Michigan budget leaders have agreed on spending figures in the state’s fiscal year 2021 budget, although exact details haven’t been released.
Senate Appropriations Chairman Jim Stamas, R-Midland; House Appropriations Chairman Shane Hernandez, R-Port Huron; and State Budget Director Chris Kolb announced an agreement on spending parameters Monday night.
“This has been a year unlike any other,” Stamas said in a statement. “The unprecedented challenges Michigan has faced meant that working together – Republicans and Democrats and the Legislature and the Administration – was absolutely essential. This agreement means a fiscally responsible budget will be in place in time for the new fiscal year.”
Lawmakers say the agreement won’t reduce funding to K-12 public schools or cut revenue sharing for local governments.
“Even in these most challenging of times, we are coming together to protect the top priorities of Michiganders – including students and schools, and the essential local services people in communities across the state rely on every day,” Hernandez said in a statement.
“We must proceed wisely and cautiously because the economic and budgetary ramifications of COVID-19 are far from over. The budget for the upcoming fiscal year must be sound and sustainable so we are ready for what lies ahead.”
House and Senate subcommittee chairs will work with departments and the State Budget Office to resolve exact budget details.
Final legislative action on all budget expenses will occur next week, according to a news release.
“COVID-19 has had an unprecedented impact on our state budget, and by quickly working together since receiving the August revenue estimates we’ve been able to build a budget framework that reflects a bipartisan commitment to moving our state forward,” Kolb said in a statement.
“These targets will provide critical funding for our key priorities such as education, health care and skills training, and I appreciate the partnership I’ve had with both Sen. Stamas and Rep. Hernandez.”
In June, Michigan lawmakers patched the then-$2.2 billion shortfall in the current budget year using federal Coronavirus Relief Fund, reduced government spending, and $350 million from rainy day funds.