New Targets Reached – Budget Deal Announced

Flanked by Lt. Governor Brian Calley, Budget Director John Nixon and Senate and House appropriations committee leadership and members, Governor Rick Snyder, Senate Majority Leader Randy Richardville (R-Monroe) and Speaker of the House Jase Bolger (R-Marshall) announced a complete budget agreement for fiscal year 2011, well ahead of recent year’s timetables, and likely on target for the Governor’s May 31^st deadline.

The 18 appointed conference committees will now begin meeting on the 16 separate budgets from the Senate and the two omnibus budgets from the House – with the goal of passing all conference reports by the middle of next week.

The impact of the increase in available resources from Monday’s Consensus Revenue Estimating Conference (see related story) was felt in the K-12 numbers most significantly. The new agreement calls for an additional $310 per pupil - $150 million to districts that demonstrate “best practices,” and $160 million to aid districts in covering retirement liabilities.

Other highlights include:

· A reduction in the amount of state employee concessions from $180 million to $145 million.

· An additional $30 million to local units - $15 million for county revenue sharing and the other $15 million into the Economic Vitality Incentive grant program for municipalities.

· $25 million to the film industry

· $255 million into the Budget Stabilization Fund or “rainy day fund”

· A 4-percent cut to community colleges

· No prison closures

· No State Trooper reductions

posted by PAA Online , Friday, May 20, 2011 10:05 AM
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