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Whitmer, legislative leaders reach deal to pass budget in time to avert government shutdown

The state Capitol building in the winter.

Days away from an October 1 deadline to avert a partial state government shutdown, and months past the due-date written into state law, the leaders of the state House and Senate said Thursday evening that they've "reached an agreement" to pass a budget that will keep the government funded.

The budget deal was elusive in part because it needs to be bipartisan; Republicans control the state House, and Democrats have the majority in the Senate.

Under state law, the budget is supposed to be in place by July 1. That's in part because that's when K-12 schools start their fiscal years, and after weeks of not knowing what funding they'll get from the state for this school year, some have publicly pondered taking out loans to make ends meet.

Funding for K-12 schools has been a key sticking point in the budget negotiations. House Republicans wanted to increase overall per-pupil funding for schools, but do away with many of the funding categories, like money for free school meals and student transportation, that Democrats said were essential. Republicans said eliminating requirements on how the money is spent would give local districts more flexibility. Democrats said it would force schools into tough choices about what to fund.

In statements issued jointly on Thursday, Democratic Governor Gretchen Whitmer, Republican House Speaker Matt Hall, and Democratic Senate Majority Leader Winnie Brinks all said the deal will benefit Michiganders, but they did not lay out specifics of how the tens of billions of dollars in the state budget will be allocated.

"The administration and legislative leaders will continue meeting to finalize and pass the budget," Whitmer's office said.

WKAR coverage of local issues is made possible by community support. Together we’ve already reduced WKAR’s $1.6 million budget gap created by the loss of federal funding. With your support we can close the remaining $500,000 gap and keep trusted public media strong for mid-Michigan. The best way to support WKAR is to become a sustainer. Already a sustainer? Please consider upgrading your current monthly gift.

Brett joined Michigan Public in December 2021 as an editor.
Together we’ve already reduced WKAR’s $1.6 million budget gap created by the loss of federal funding. With your sustaining support we can close the remaining $500,000 gap and keep trusted public media strong for mid-Michigan. The best way to support WKAR is to become a sustainer. Already a sustainer? Please consider upgrading your current monthly gift.