Governor Granholm 2011 Executive Budget Makes Critical Investments, Spending Reductions and Reforms
February 11, 2010
- The Michigan Promise scholarship is restored as a $4,000 tax credit available to any student who completes a degree and works for one year in Michigan.
- Additional federal funding to provide for the increasing number of citizens eligible for the food assistance program.
- A permanent funding source for tourism promotion, including the successful Pure Michigan advertising campaign, through a rental car fee.
- Revenue-sharing payments to cities, villages and townships are maintained at fiscal year 2010 levels and additional funding to restore county revenue-sharing payments to the 38 eligible counties.
When combined, the spending reductions, structural reforms, and tax restructuring eliminate a projected $1.5 billion budget shortfall for the year that begins October 1, 2010.
In addition to outlining a balanced budget, which is required by state constitution, Governor Granholm called on the Legislature to pass the budget by July 1, 2010, to allow cities, schools, universities and other organizations to move forward with their spending plans, which are dependent on state revenues.
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