In the early morning hours of October 1st-the first day
of the new fiscal year-the Michigan Legislature
approved a continuation budget for fiscal year 2010
after failing to come to an agreement on some of the
major cuts proposed to balance a $2.8 billion budget
deficit.
Although a second continuation budget was voted on
to continue payments for K-12 education, agreement
was not reached and the K-12 School Aid budget was
sent to a second conference committee. Early on the
morning of October 9th, a compromise on the K-12
budget was approved by the legislature.
A number of important budgets that affect children and
families have not yet been sent to the Governor for her
signature, and are being held in the Senate on a
motion to reconsider their immediate effect. The
Governor has indicated that she expects to use her
veto power "to shape this budget to protect the
priorities of Michigan families."
During October, one major question will be whether
the Governor and the Michigan Legislature can agree
to final budgets that include cuts only, or be able to
negotiate either the allocation of additional federal
stimulus dollars or new revenues to soften the blow. A
number of revenue bills have been introduced and
several have been approved by the House of
Representatives.
If no new federal or state revenues are approved,
many important children's programs and services are
at risk.
Read more in our latest edition of Budget Basics:
Update on the Fiscal
Year 2010 Budget: Services for Children and
Families.