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Tentative Budget Plan Agreed on by Gov. Snyder, GOP Leaders

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A tentative agreement has been reached by Governor Snyder and Republican legilsative leaders on the state’s 2017 spending plan.

According to the Detroit News, the plan includes about $166 million in aid for the Flint water crisis. Preserved would be $128 million for immediate relief in the water crisis in this fiscal year while another $38 million is included for the next fiscal year that begins October 1st.

The 2017 budget plan is about $350 million less than Snyder had recommended spending in his presentation earlier this year because of lower than expected tax revenue. Much of that reduction will come from a $165 million statewide fund Snyder wanted to set up to begin replacing aging underground infrastructure in other cities. To make up for that future drop in revenue, the budget plan eliminates a tax credit auto insurance companies have been claiming for covering the medical bills of passengers and pedestrians injured by uninsured drivers.

The plan also calls for a $60-120 boost in per pupil funding for public schools, however, lawmakers are still divided over how to solve the Detroit Public Schools crisis.

 

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