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Gov. Whitmer Signs Funding Bill to Put Michigan's Economic Recovery First


July 26, 2021 



Gov. Whitmer Signs Funding Bill to Put Michigan's Economic Recovery First 

The legislation provides financial resources for flooding recovery and additional support for local police. 


LANSING, Mich. - Governor Gretchen Whitmer today signed Senate Bill 27 to appropriate $384.7 million in supplemental relief funding to support the recovery of individuals, families, and small businesses to help them emerge from the COVID-19 pandemic in a stronger position. A total of $367.7 million is from federal COVID relief funding that was authorized through the federal Coronavirus Response and Relief Supplemental Appropriations Act, while another $17 million is from the state's general fund. 


"Right now, our top priority remains moving our state and economy forward so that Michigan families and small businesses can emerge stronger than ever," said Governor Gretchen Whitmer.  "This is another example of the good things that can happen when we work together and put Michiganders back to work. I also appreciate the good-faith efforts by members of the legislature to help us deliver financial assistance for families recovering from unprecedented flooding and additional funding to support local law enforcement so that they can keep our families safe. We are going to continue putting Michigan families and small businesses first as we get things done for our state." 


As part of the supplemental funding bill, Governor Whitmer is delivering $10 million in state general funds to be used to assist areas of the state with restoration costs and other expenses resulting from weather-related events that occurred in June 2021.   


To boost public safety, $2.7 million in federal funding has been allocated for the Secondary Road Patrol Program, which provides grants to county sheriff's departments for the patrol of secondary roads.  


"Sheriff Secondary Road Patrols contribute to the safety of Michigan's motoring public.  We have seen over the past two years an increase in traffic fatalities and serious injuries, that can be directly related to a lack of traffic safety enforcement resources," said Matthew M. Saxton, CEO/Executive Director, Michigan Sheriffs' Association. "The Michigan Sheriffs' Association and Sheriffs across the state are grateful that the legislature and Governor have recognized and are committed to funding this important public safety need.  We look forward to working together for the safety of Michigan's motoring public." 


The new funding includes $105 million in federal funds to provide a 40 percent rate increase to child development and care program providers for the 2020-21 fiscal year, and a modification to pay providers based on enrollment rather than based on attendance starting on June 28, 2021 and ending September 30, 2021.  


"Hope Starts Here applauds Governor Whitmer's leadership in allocating $105 million in federal funds to provide a 40 percent rate increase to child development and care program providers for the 2020-21 fiscal year," said Denise Smith, Implementation Director, Hope Starts Here. "This allocation also includes a modification to pay providers based on enrollment rather than based on attendance starting on June 28, 2021 and ending September 30, 2021. These are huge shifts toward stabilizing the early childhood workforce. Without funding, childcare providers especially in less resourced communities across our region cannot re-open and rebuild to support returning workers. Supporting childcare providers means they can pay fair wages to their workforce, stay in operation and support Michigan's children and families. It's the right thing to do get Michigan back on track." 


A total of $160 million in federal funds is included to provide grant awards to hospitals based on total state Medicaid inpatient claims revenue to help cover increased hospital costs and reduced hospital revenue related to the COVID-19 pandemic. In addition, $100 million in federal funds is provided for a $23.00 per Medicaid day increase to nursing facilities that have experienced a 5% or greater decline in the nursing facility's average daily census.  


"Michigan hospitals have experienced significant financial hardships while caring for over 125,000 COVID-19 patients over the past 16 months of the pandemic," said Michigan Health and Hospital Association CEO Brian Peters. "We want to thank our partners in the Legislature and Gov. Whitmer for passing this supplemental allocation that will help hospitals maintain access to care for Michigan residents throughout our state." 


Lastly, $7 million in state general funds were allocated to the Wrongful Imprisonment Compensation Fund to support statutorily required payments to those deemed to have been wrongfully imprisoned and eligible for compensation from the state under 2016 PA 363. 




"We've come a long way from where we were during the uncertainty of last year's budget cycle," said Schmidt, R-Traverse City. "The supplemental funding that was signed into law today would provide major relief to hospitals that have struggled with resources over the last year, funding to help improve childcare here in Michigan, and money to boost secondary road patrols in the less-traveled areas of my district. We've made major investments in education, roads and bridges, along with other COVID-19 relief funding, and with this supplemental being signed, we are taking another step forward for Michigan residents." 

  • State Senator Wayne Schmidt, R-Traverse City 


"The lack of quality, affordable child care is a struggle for families and employers. By signing this bill, Gov Whitmer is putting over $100 million into better wages for employees and more access for parents." 

  • State Senator Jeff Irwin, D-Ann Arbor 


"This vital assistance will help our hospitals, nursing facilities and child development and care programs continue to cope with the COVID-19 pandemic and its resulting financial repercussions." 

  • State Representative Mary Whiteford, R-Casco Twp. 


"After the devastating floods in Dearborn, we rolled up our sleeves and got to work immediately  to advocate for relief for our families. I'm proud to have helped negotiate and secure this $10 million in emergency response funds to get through this crisis and assist Dearborn and other municipalities with the ongoing efforts. We have more work to do, but this is a step in the right direction as we work to rebuild." 

  • State Representative Abdullah Hammoud, D-Dearborn