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Plans to fix $2B budget hole ready for governor's signature

Michigan Legislature
Posted at 10:42 PM, Jul 23, 2020
and last updated 2020-07-23 22:42:08-04

LANSING, Mich. (AP) — Proposals that help address a $2.2 billion state budget gap caused by coronavirus pandemic were ready for Gov. Gretchen Whitmer’s signature after lawmakers approved cuts, dipping into state cash reserves and increasing financial support for schools.

Two bills, which cleared the House and Senate Wednesday with strong bipartisan support, are part of a complex plan that’s heavily reliant on federal coronavirus relief funds.

Michigan will also pull $350 million from its $1.2 billion “rainy day” fund.

The plan had bipartisan support, but government watchdog groups cautioned against such a heavy reliance on federal funds.