Gov. Gretchen Whitmer on Wednesday released her budget proposal. Here’s a look at where the money is going, according to Whitmer and state Budget Director Christopher Harkins.
K-12 education
· $900 million deposit into a new rainy day fund for schools – funds set aside for future budgetary needs.
· $614 million to support school operations through a 5% increase in the base per-pupil that equates to an additional $458 per student, for a total of $9,608 per pupil.
· $318 million for school safety programs.
· $442.4 million to help students reach their full academic potential, including expansion of existing payments for literacy grants and literacy coaches.
· $300 million for tutoring through the MI Kids Back on Track program.
· $300 million to continue historic investments for student mental health.
· $257.3 million toward the goal of offering universal preschool to all of Michigan’s 4-year-olds.
· $195 million in recognition of the crucial role high-quality teachers play in the success of their students. Including continued support for the MI Future Educator Program and funds to retain and develop existing teachers through mentorship programs.
· $160 million to help students thrive by providing free breakfast and lunch to all of Michigan’s 1.4 million public school students.
· $150 million to fund matching grants for school districts to modernize their bus fleet by switching over to electric vehicles.
· $120 million investment in various educator supports, including continuation of the MI Future Educator Fellowship, student teacher stipends and professional development.
· $94.4 million for literacy-related programs and activities in Detroit public schools.
· $79.9 million to continue expanded support for special education students – a 12.5% increase in the current allocation.
· $66.5 million to provide a 5% increase in funding to support academically at-risk students, English language learners, and students in rural school districts.
· $64.7 million increase, for a total of $812.2 million, in funding for academically at-risk, economically disadvantaged students.
· $30 million supporting new math intervention programs.
· $25 million for additional supports for vocational education and career and technical education equipment upgrades.
· $4 million to establish the Nature Awaits program, providing every Michigan fourth grader with a free field trip to a state park.
Higher education and workforce development
· A 4% ongoing increase for university and community college operations.
· $200 million in Infrastructure, Technology, Equipment and Maintenance (ITEM) funding to assist community colleges and universities improve existing facilities, infrastructure, and technology.
· $140 million to temporarily lower the eligibility age for Reconnect from 25 to 21, making a tuition-free associates degree or skills training available to more Michigan residents who were impacted by the pandemic.
· $100 million additional investment for the ongoing costs of the Michigan Achievement Scholarship, lowering costs for college students, bringing the FY24 investment to $350 million.
· $75 million for the Reconnect Bachelor’s Degree Pathway program to provide college affordability grants to students whose education was disrupted by the pandemic.
· $55 million for a Student Wellness Fund to help universities and community colleges improve student wellness resources on campus.
· $35 million of additional funding for Going Pro to further expand employer-based training grants.
· $35 million for a Retraining and Retooling fund to support small manufacturers address their workforce needs.
· $30 million for Student Wraparound Services and Basic Needs Supports for students at public colleges and universities and tribal colleges to improve graduation and completion rates.
· $25 million for the College Success Fund to provide competitive grants to institutions of higher education to adopt national best practices in strategies shown to improve retention and completion rates.
· $20 million for Talent Retention and Expansion efforts to develop customized solutions to fill talent gaps in key industries.
Public health
· $210.1 million to increase wage support to direct care professionals serving in nursing homes and extended care facilities.
· $150 million for efforts aimed at attracting and establishing a Michigan-based insulin manufacturing facility to lower the cost of insulin while creating new high-skill, high-demand jobs.
· $129.7 million for additional Medicaid health access and equity to improve enrollee access to services.
· $62.1 million to fund Healthy Moms, Healthy babies, a bipartisan program that supports pregnant women, new mothers, and young children.
· $58 million to implement recommendations from the Racial Disparities Task Force, including neighborhood health grants, mobile health units, sickle cell support and more.
· $30 million increase in support to local health departments to provide essential services.
· $15 million to create a new foster care respite care program to provide temporary, occasional relief to foster parents.
· $6.2 million to fund the Medicaid Plan First! program – expanding access to family planning services and cancer screening.
Public safety
· $50.4 million to leverage the State Police Training Academy to serve as a criminal justice training hub to support realistic, multi-disciplinary training opportunities for law enforcement agencies across the state.
· $36.6 million in new statutory revenue sharing (2% ongoing and 5% one-time) dedicated specifically for public safety, including employee recruitment, retention, training, and equipment for first responders.
· $18.2 million to provide in-service training to licensed law enforcement officers.
· $11.5 million for the Selfridge Air National Guard Base to improve and maintain infrastructure at the base to continue to position Michigan to compete for next generation aircraft and future fighter missions.
· $10.8 million to establish the Office of Community Violence Intervention Services to partner with community-based organizations already working to reduce violent incidents.
· $10.4 million to improve safety and accountability in correctional facilities, including $7.1 million to outfit corrections officers with body cameras.
· $9 million to run a Michigan State Police Trooper Recruit School, graduating an anticipated 50 new recruits.
· $5 million to enact various recommendations from the Task Force on Juvenile Justice Reform, including creating a Juvenile Justice Services Division within the State Court Administrative Office and expanding the scope of the Office of the Children’s Advocate.
· $5 million to expand the Jobs Court, a program that aims to reduce recidivism by providing jobs and services to disadvantaged offenders.
· $1.9 million to implement gun violence prevention policies.
· $72 million increase over current year funding, for a total of $220.9 million, for Michigan Indigent Defense Commission grants to local judicial systems across the state.
Infrastructure: Roads, bridges, transit, electrification
· $350 million in a reserve designed to allow the state to leverage infrastructure dollars.
· $200 million investment supporting Michigan’s Bridge Bundling program to replace or rehabilitate structurally deficient bridges across the state.
· $160 million for Intermodal Capital Investment Grants to support investments in rail, marine, intercity, and local transit infrastructure that have the potential to leverage federal funding opportunities.
· $65 million to expand electric vehicle charging infrastructure networks and access.
· $41.2 million for the Information Technology and Investment Fund for modernization of legacy IT systems supporting local income tax collections for those communities that elect to participate, environmental permitting and inspection, groundwater protection, occupational safety and health, and talent recruitment and retention.
· $45 million for the Michigan Clean Fleet Initiative to support local governments and businesses transitioning their vehicle fleet to electric vehicles and clean fuels.
· $10 million to begin the transition the of State of Michigan’s fleet to electric vehicles.
· $6.6 million to improve permitting processes and reduce permit issuance wait times.
Infrastructure: Housing
· $212 million for residential energy efficiency improvements through federal funds via point-of-sale rebates for home appliances, water heaters and more.
· $100 million for the Community Downtown Economic Development Program to provide competitive grants for community development and placemaking efforts in downtowns.
· $50 million in funding for Revitalization and Placemaking Program grants used to rehabilitate vacant, underutilized, blighted and historic structures and develop place-based infrastructure to revitalize communities.
· $50 million for the Housing and Community Development Program to alleviate affordable housing needs across the state and revitalization downtown areas in Michigan.
· $15 million to address workforce housing needs in the food and agriculture industry by providing grants to improve living conditions and housing options for migratory agriculture workers.
· $10 million to acquire, renovate and resell State Land Bank properties to expand attainable housing options while emphasizing use of skilled trades apprentices.
Infrastructure: Water, parks, agriculture, environment
· $226 million to remove and replace 40,000 lead service lines across the state over 10 years.
· $122.5 million to ensure the quality and safety of Michigan drinking water. Funding will support water filter distribution as well as faucet and plumbing replacement in communities with lead contamination in water.
· $100 million to establish an environmental justice contaminated site clean-up fund to remediate and redevelop contaminated sites in historically disadvantaged and underrepresented communities.
· $5.2 million for orphan oil and gas well remediation to continue efforts to seal and remediate abandoned oil and gas wells, and adjacent areas, throughout the state.
· $10 million in funding for MI Climate Smart Farming to assist farmers who choose to implement regenerative agriculture practices, to benefit the environment.
· $7.8 million in state parks operations funding to provide additional park rangers and provide essential resources to state parks.
· $5 million for Michigan Saves to incentivize private investment in clean energy improvements for Michigan residents and businesses.
Economic development
· $500 million annual deposit in the State’s bipartisan Strategic Outreach and Attraction Reserve (SOAR) Fund.
· $200 million over 10 years for the Onshoring Clean Energy Supply Chain Tax Credit, designed to encourage businesses to invest in clean manufacturing and industrial decarbonization projects.
· $200 million for the Michigan Regional Empowerment Program to support the growth, development, diversification, and resiliency of regional economies through a competitive grant process.
· $135 million for the Michigan Main Street Initiative to provide supports to start, grow, and expand small and micro businesses.
· $15 million in federal funding to supplement the $15 million ongoing funding for Pure Michigan to continue promoting the state as a great place to live, work, and play.
· $10 million to support outdoor recreation businesses, including outdoor retailers, supply base companies, and outdoor recreation service providers.
· $10 million to promote Michigan as a destination for special events and national conventions
· $5 million for the Michigan Defense Center to protect and grow the defense and homeland security industry in Michigan.
· $2 million for the Arsenal of Innovation Fund to expand research and development around mobility in the defense industry and support innovation of new technologies.
Copies and more details of the governor’s recommended budget are available at www.michigan.gov/budget.
