Legislature approves FY 2021 state budget

Legislature approves FY 2021 state budget

LANSING, Mich. — State Sen. Kevin Daley on Wednesday supported a fiscal year 2021 budget plan that balances the state’s deficit and increases investments in important priorities like K-12 education and public safety.

“The COVID-19 pandemic has drastically affected our economy and the state’s budget. Michigan families, businesses, health care workers and teachers have all been affected and faced unique and incredibly difficult challenges during this health crisis,” said Daley, R-Lum. “This budget recognizes these challenges and increases funding for schools, mental health and nursing home safety while also including funding for programs to help people get back on their feet and jumpstart the struggling economy.”

Senate Bill 927 is an education omnibus budget featuring a $65 per student increase in state aid payments for all schools in addition to restoring the $175 per pupil reduction made to balance the FY 2020 budget. It also includes an additional $66 million for growing schools, $37 million for student mental health support and $3 million more for early childhood literacy.

House Bill 5396 is a general omnibus budget that increases local revenue sharing and includes $20 million to ensure nursing homes have adequate personal protective equipment to protect staff and residents, $7 million to graduate at least 50 new state troopers and maintain trooper strength, $26 million for the Going Pro program to help train employees, and $30 million for Michigan Reconnect to help people complete an associate degree or skills certificate.

It also invests $15 million in the Pure Michigan tourism campaign, deposits $35 million in the state’s rainy day fund, and fully funds the 2015 plan to help fix the state’s roads.

“Gov. Whitmer has gone it alone too often in 2020. This budget proves what can be done when we work together to solve problems,” Daley said. “I am happy to support this responsible bipartisan agreement that uses state resources where they are needed most and does not raise taxes on families who are already hurting.”

Daley attributed the ability to approve the budget plan to the state’s responsible budgeting in recent years.

“For the last decade, we have budgeted responsibly and put money away for times like this — which has greatly aided the state’s response and our ability to fund crucial state programs during this difficult time.”

The budget bills now head to the governor for consideration. Michigan’s 2021 fiscal year begins on Oct. 1.


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