LANSING, Mich. — Wednesday marked the start of a new fiscal year, but there's still no budget, just a promise of one.
Last week, Michigan lawmakers announced they reached an agreement on the framework for a new budget that includes free school meals, road funding and tax cuts for working families.
WATCH: New state budget may not be passed until this weekend, Governor Whitmer urges school districts to continue free meals
Despite vowing to have a deal done in time for the start of the next fiscal year, lawmakers failed to pass a budget Tuesday.
In response, Governor Gretchen Whitmer signed a continuing budget that keeps state operations running until Oct. 8.
On Wednesday, lawmakers returned to the Capitol, and while there was some movement on the school aid fund and omnibus bill, no budget was passed.
Majority Floor Leader, Rep. Bryan Posthumus (R-Rockford) posted on X that negotiations have concluded and said the final budget, "should be drafted and voted on within the next 48 hours."
House Republicans did confirm some of the items that will be included in the new budget:
- Nearly $2 billion for roads (including local roads)
- Increasing per pupil funding from $9,608 per pupil to a record $10,050 per pupil
- No state tax on tips, overtime or Social Security
- $800 million cut to the general fund
- Restore $321 million in funding to school safety and mental health (including private schools)
- Eliminate at least 2,000 unfilled positions in state government
- Eliminate/consolidate unneeded leased office space
- $26 million to Selfridge Air National Guard Base to support new fighter mission
- Improved Bridge Card security
- Make earmark transparency permanent
- $14 million for northern Michigan ice storm recovery
In a letter sent out to superintendents at school districts across the state, Governor Whitmer and state Superintendent Dr. Michael Rice urging school districts to continue to provide free meals as the Legislature finalizes a budget that, "feeds our kids, as they've [lawmakers] said they would."
“The Michigan Department of Education is appreciative of the support of the state legislature and Governor Whitmer for the Michigan School Meals Program." Dr. Rice continued, "to ensure that all children can eat free at school. Let’s keep feeding our kids.”
House Appropriations Chair Rep. Ann Bollin (R-Brighton) says she believes the final budget will look closer to the $78.5 million budget House Republicans proposed in August.
"The Senate, they put forth a roughly $86 billion budget and I will tell you, the budget will be much closer to the House Republicans $80 billion budget," Rep. Bollin said.
Lawmakers will be back in session on Thursday, and Rep. Bollin says she's hoping to have the school aid fund and omnibus bills passed out of the House by the end of the day.
The final budget could be voted on as soon as Friday.
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