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Governor Granholm says lawmakers, public won't back cuts-only budget strategy

By Rick Pluta, Michigan Public Radio Network

LANSING, MI –

Governor Granholm says she expects state lawmakers and the public will eventually accept that new revenue must be raised to balance next year's budget. She says efforts by House Democrats to draw up budget plans that rely only on spending cuts without new revenue will still be useful.

"You know, I think it's important for people to see what a cuts-only budget would look like," she says. "Honestly, I don't think they would have the votes for a cuts-only budget because it would be so devastating to public education as they are in the middle of grappling with that we're hitting them with mid-stream this year."

The governor says without new revenue, schools will be cut by $250 per student on top of last year's cuts. She has called for expanding the state sales tax to services to stabilize school funding.

Democratic House Speaker Andy Dillon says new taxes should only be a last resort. Senate Republicans say they will balance the budget cost savings and cuts and without new taxes.

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