LANSING, Mich. (Michigan News Source) – While K-12 spending has reached record levels of spending in this state, the Michigan Department of Education’s (MDE) budget has been slashed significantly in a reorganization.

That’s because of a $576 million transfer of money to another department for programs removed from the MDE’s oversight as well as a reduction in the number of employees in the department.

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Total spending for K-12 education in Michigan was at a then-record $16 billion in 2019-20, the year before the pandemic hit. Since then, K-12 spending has averaged $20.2 billion a year for the five years from 2020-21 through 2024-25.

MDE’s had a budget of $654 million in 2019-20 that was cut to $165 million in 2024-25. MDE’s budget had reached $1.94 billion in 2021-22, but $1.5 billion of that was one-time federal money for child care.

The MDE’s budget went from $685.7 million last year to $165 million this year, a loss of more than $500 million in one year.

The MDE’s full-time jobs went from 634.5 in 2023-24 to 568.5 in 2024-25, a 10.4% reduction.

The appropriations for 2023-24 also included a one-time infusion of money for a $40 million new dormitory for the Michigan School for Deaf.

The state Legislature also created the Department of Lifelong Education, Advancement and Potential (MiLEAP) and transferred $577 million to its budget in 2024-25, according to the Senate Fiscal Agency and the House Fiscal Agency.

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MiLEAP combines resources from the Department of Education, Department of Licensing and Regulatory Affairs, Department of Labor and Economic Opportunity, and the Department of Treasury. MiLEAP oversees the child care and child development subsidies for low-income families as well as early childhood education programs.

While the MDE lost 66 full-time jobs, MiLEAP will have 340 full-time positions in 2024-25, according to budget documents.