June 30, 2006
LANSING - Governor Jennifer M. Granholm, Senate Majority Leader Ken Sikkema and House Speaker Craig DeRoche, today announced they have reached a tentative agreement for the fiscal year 2007 budget that increases K-12 funding, invests in higher education, and protects the social safety net.
"We are investing in the economic future of our state by increasing support for our public schools and higher education," Granholm said. "We will continue to protect the most vulnerable citizens and improve public safety. Once again, we have been able to accomplish all of this without raising taxes or sacrificing what matters most. This budget is a clear win for the people of Michigan."
The agreement provides for the continued protection of Michigan's most vulnerable citizens by maintaining current eligibility standards for Medicaid recipients. It also provides funding for the state's Jobs, Education and Training (JET) program that helps Michigan meet new federal work participation requirements for those receiving assistance.
"This compromise represents a balanced budget that did not require an increase in taxes, relying instead on our ability to control spending with reasonable and responsible decision making," said Sikkema (R-Wyoming). "Despite difficult economic times, we were still able to remain focused on investing in our future by increasing funding in the K-12 and higher education budgets."
The agreement includes a $210 increase in per-pupil funding for K-12 schools. It also increases funding for universities, colleges, and community colleges by 3 percent overall. In addition, it provides money to help schools with declining enrollment, improve student performance in math and science, and address funding equity between school districts.
"One thing for sure, this is no Washington D.C.-style budget," DeRoche said. "The House began this process committed to a budget that would put our saved resources toward our kids, training for jobs, and the public's safety. This budget adheres to that philosophy and actually holds spending below inflation while making common-sense cuts. That's what taxpayers deserve."
The agreement also provides funding for a new Michigan State Police Trooper Recruit School, protects food safety inspection programs, and supports continuing improvements for Michigan's roads and public transportation systems.
Legislative conference committees are expected to meet the week of July 10 to report budget bills to the House and Senate.
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