LANSING, Mich. (Michigan News Source) – Governor Gretchen Whitmer’s Fiscal Year 2024 Budget Announcement encompassed many Michigan areas including Education, Infrastructure, Environment Investments, and Talent Seeking Opportunities.  

Her budget in totality would cost $79 billion dollars, with 24% of it going towards School Aide, or $19 billion.  The General Fund budget would cost $15 billion, with 18% going towards Public Safety, 12% towards Higher Education, 44% going towards Health & Human Services, and All Other Departments receiving 26% of the budget. 

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The governor aims to grant individualized tutoring to all students in the state in grades K – 12 through the program “MI Kids Back on Track,” which would cost $300 million.  Additionally, she proposed increasing the per student spending by 5%, for a total of $9,608 per student.

“Today, I am proud to introduce my executive budget proposal to lower costs, grow our economy, and build a brighter future for anyone who wants to call Michigan home,” Governor Whitmer said in a statement, “My budget includes investments to put money back in people’s pockets, help students thrive in school, put more people on paths to higher education and good-paying jobs, rebuild our infrastructure, keep our communities safe, and improve public health. In the months ahead, I look forward to working with my partners in the legislature to deliver a balanced budget that makes a real difference in people’s lives. Let’s get it done.” 

When it comes to higher education, the governor also sought continued investments in the Michigan Reconnect program as the chief method of obtaining Michigan’s 60 by 30 goal.  Part of the funding would also include a temporary reduction of the age of eligibility from 25 to 21 until the year 2026 according to slides presented by the Governor and State Budget Director Christopher Harkins. 

A press release detailing the FY 2024 proposal budget also included funding to leverage the State Police Training Academy to “serve as a criminal justice training hub,” with the most funding going towards the Michigan Indigent Defense Commission grants to local judicial systems across the state. 

“The judiciary is grateful to the Governor for this substantial down payment toward achieving critically important goals of the Task Force on Juvenile Justice Reform,” Chief Justice Elizabeth Clement said in a statement, “The creation of a coordinating function in the State Court Administrative Office that will help courts and other justice system partners get on the same page with the latest policy, state-of-the-art data collection, and accountability tools is crucial. By filling this coordination gap, stakeholders systemwide can be more effective in working together to help kids at risk get the services they need.”

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Though somewhat related to infrastructure, the Governor prioritized spending in Water, Parks, Agriculture, and Environment.  She proposed $226 million to remove and replace 40,000 lead service lines across the state over 10 years. 

The first question for Harkins was from Senator Jon Bumstead (R-North Muskegon) who asked how much of the state’s $9 billion surplus would be leftover if the governor’s proposal was implemented. 

“That’s a fine question, Senator,” Harkins said, “As you know when we make changes to our tax code, as we make sure we reinvest in our people, and put money back in their pockets, that’s a direct impact on our resources. And so what you see in this budget recommendation, leaves about $250 million dollars on the balance sheet between both the general fund and the schooling fund at the end of fiscal year 2024.” 

Republicans have continued to express concern that the Governor will not permit the automatic and permanent income tax cut due to legislation from 2015. 

“The governor’s latest smoke-and-mirrors proposal is just another attempt to misdirect the people and small businesses of Michigan as she puts permanent income tax relief on the chopping block,” Representative Andrew Beeler (R-Port Huron) said in a statement. “Michiganders need relief now and ongoing savings in the future. One-time checks are a poor excuse for levying a tax hike on working families and local businesses while creating a huge, unaccountable corporate slush fund. The people of Michigan should see through Gov. Whitmer’s attempt to offer them a temporary bribe to cover up a disastrous tax hike.”

House Minority Vice Chair of the House Appropriations Committee, Sarah Lightner (R-Springport) released her thoughts regarding the governor’s plans, particularly projecting that Michigan taxpayers will continue to pay higher income taxes. 

“Instead of cutting taxes and putting more money in people’s paychecks, she wants to spend taxpayer money on special projects and new government programs,” Lightner said in a statement, “The governor’s recommendations are just the first step in the budget process. I expect there to be numerous committee hearings and open conversation on the specific details of her proposal, and I’m looking forward to participating in a transparent process that sheds light on the way public tax dollars are being spent.”

The House is convening to discuss and vote on House Bill 4001 this afternoon, a bill introduced by Representative Angela Witwer (D-Delta Township) that pertains to individual income tax, retirement or pension benefits among other retirement deductions.