Whitmer Set to Sign $75.9 Billion Michigan Budget After Bipartisan Deal, Spending Cut by $12 Billion

LANSING, Mich. The Michigan Legislature has approved a $75.9 billion state budget and sent it to Gov. Gretchen Whitmer for her signature after a bipartisan agreement between House Republicans, Senate Democrats, and the governor's administration. The final budget is $12.2 billion smaller than Whitmer's original $88.1 billion proposal, includes no new statewide taxes, and does not use the state's Rainy Day Fund.

House Republicans say they secured roughly $3 billion in spending reductions, eliminated more than 250 vacant state jobs, bringing the total eliminated to over 2,250, and reduced spending at agencies including EGLE and the DNR while preserving funding for major state services.

The budget increases the K-12 foundation allowance by $250 per student, raising it from $10,050 to $10,300, creates a new weighted school funding formula for at-risk students, and continues funding for transportation, health care, literacy programs, and Rx Kids. Lawmakers also identified about $185 million in Medicaid savings through administrative changes and federal prescription drug reforms.

Lawmakers also approved ethics legislation requiring governors, legislators, and department directors to wait two years after leaving office before becoming lobbyists.

Whitmer praised the bipartisan agreement, saying it continues investments in education, housing, health care, and road repairs while keeping costs down for Michigan residents.

The Question: Did lawmakers strike the right balance with this budget, or should Michigan have spent more in some areas and less in others?